Award goes to ……Michael Landers! Congratulations, Michael
Friday, December 17, 2010
Rates go up again! Now is the time to buy!
A sudden and unexpectedly quick bounce in Treasury yields has jolted the financial markets — including mortgage rates, which have risen rapidly in response. Freddie Mac puts 30-year home loan interest at an average of 4.83 percent for the week ended Dec. 16, up from a record bottom of 4.17 percent a month ago. Although the rate is still favorable by historical norms, any jump in borrowing costs is certain to pinch housing demand, prevent refinancing, and motivate sellers to reduce asking prices.Source: The Wall Street Journal, Nick Timiraos and Mark Gongloff (12/17/10)
Thursday, December 16, 2010
Owners Recoup More with Exterior Home Projects
Thinking of doing some remodeling…check out this info on what brings the greatest return on investment: http://www.realtor.org/RMODaily.nsf/pages/News2010121601?OpenDocument.
Monday, December 13, 2010
Sellers: Price to Your Market
In this tough market, price reductions are more acceptable than they used to be. Check out more about the importance of proper pricing at http://www.realtor.org/RMODaily.nsf/pages/News2010121304?OpenDocument
Friday, December 10, 2010
See, I told you!
Mortgage Rates Jump to 6-Month High
Mortgage rates rose for a fourth-straight week to reach a six-month high as yields on government bonds continue to rise. The average interest on a 30-year fixed loan hit 4.61 percent, up from 4.46 percent a week ago, Freddie Mac reported. Also, 15-year fixed loans averaged 3.96 percent, up from 3.81 percent last week; and rates for variable adjustable-rate mortgages floated higher as well.Source: Los Angeles Times, E. Scott Reckard (12/10/10)
5 Real Estate Predictions for 2011
Freddie Mac analysts point to five features that they believe will likely characterize the 2011 housing and mortgage markets:1. Low mortgage rates: relatively low mortgage rates will be a feature of the 2011 mortgage market. Thirty-year fixed-rate loans are likely to remain below 5 percent throughout the year. Deaton Interpretation: “This means that the interest rates will actually be climbing now through next year. If you waited for the bottom on interest rates….YOU MISSED IT! Looking to buy? Start now to get the current low interest rates.”
2. Prices have hit bottom. House prices are likely to begin a gradual, but sustained recovery in the second half of 2011. Deaton Interpretation: “Prices going up. Cost more to buy the house you want!”
3. Housing will remain affordable. With affordability high, many first-time buyers will be attracted to the housing market in the New Year, likely translating into more home sales in 2011 than in 2010. Deaton Interpretation: “Houses were more affordable in 2010. Where were the first time home buyers? They disappeared when they didn’t get free money from the government anymore. I think more buyers will show up due to improved economy and the reality check that they missed the Perfect Storm in 2010 – low prices, high inventory and crazy low interest rates.”
4. Refinances will dwindle. Many eligible borrowers have already refinanced and the federal Making Home Affordable refinance program is expiring on June 30. While fixed-rate loans are likely to remain low, they will move up gradually, making it even less likely that refinances will be attractive to most home owners. Deaton Interpretation: “Agreed….because those people who have a mortgage realized that a 3.5% interest rate was MUCH BETTER than the 5%-6% they currently had! They acted!”
5. Delinquency rates will decline. Based on the last several business cycles, the share of loans that are 90 or more days delinquent or in foreclosure proceedings — known as the "seriously delinquent rate" — generally crests within a year of the start of the recovery in payroll employment, and this economic recovery appears to fit within that pattern. Payrolls began to rise last January, and by the spring the seriously delinquent rate had begun to fall. Deaton Interpretation: “Sounds good to me. Less delinquency = better housing market for all.”
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