Category: Financing

​Home Prices Rising! Appraisers say WHOA!

​I recently helped my clients handle multiple offers on their home, and one of the issues that came up was the appraisal. My clients, the Sellers, were requesting that the potential Buyers waive the appraisal contingency and the Buyers resisted. While I do research properties extensively for market value price points, with multiple offers the actual sale …

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Mortgage Rates and Your Home Price

How do rising interest rates influence how much you can afford to pay for your new home?  Goal: to keep your principal and interest payment between $1850 – $1880 per month.   The chart shows you how much house you can afford with rising interest rates.For example, with a 3.75% interest rate you can afford a $400,000 home. …

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Foreclosure inventory down 27.3% since February 2014

The national foreclosure inventory declined by 27.3% and completed foreclosures declined by 15.7% from February 2014, according to the latest from CoreLogic. The data firm also reports the number of mortgages in serious delinquency declined by 19.3% from February 2014 to February 2015 with 1.5 million mortgages, or 4%, in serious delinquency, which is defined as 90 …

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Fannie Mae launches major first-time homebuyer assistance program

  Fannie Mae announced April 14th a new HomePath Ready Buyer program under which qualifying first-time homebuyers can receive up to 3% of the purchase price of the subject property in closing cost assistance toward the purchase of a HomePath property. On a $150,000 home, this could result in up to $4,500 in savings for …

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Oh my! The difference a year can make!

 Important Points To Consider: The latest Freddie Mac Primary Mortgage Market Survey reports the 30-year fixed rate at 3.7%. Freddie Mac’s projection for Q2 2016 is that the rate will be 4.7% (a full percentage point higher) The Home Price Expectation Survey predicts that home prices will appreciate by 4.4% during this same time The …

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Did It Make Sense to Wait?

Over the course of last year, many people debated purchasing a home, but ultimately did not. Let’s look at whether the decision to wait to buy made sense financially. What happened in 2014? The 30 year fixed rate on January 2, 2014 was 4.53% as reported by Freddie Mac. Looking at the chart below, the monthly mortgage …

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FHA Mortgage Insurance Premium (MIP) to Drop

FHA Mortgage Insurance Premium (MIP) to drop President Obama will be formally announcing that he will direct the Federal Housing Administration to reduce annual mortgage insurance premiums by 50 basis points, from 1.35% to 0.85%. Zillow’s Allison Paoli ran the numbers on what this could mean for first-time buyers, saying: “On a $175,000 home loan with less than 5% …

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Buying a Home with Only 3% Down Payment

Yes, you can buy your new home with as little as a 3% down payment! There is a common misconception that many buyers have regarding the down payment necessary to purchase a home. Multiple studies reveal that 40-50% of Americans believe you need between 15-20% of a down payment to be eligible to purchase a home. …

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Can you afford to rent in Seattle?

‘What’s Up? Nothin’ But the Rent.’ No news to Seattle renters, but Seattle is officially one of the most expensive cities to rent a home… tenth in the country behind San Franciso. Seattlites need to make the equivalent of $44/hour to afford a median rent. San Francisicans need to earn a minimum of $79/hour. Renting …

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Why don’t more home buyers take advantage of lower borrowing costs?

Demand for Mortgages is Down Fixed-rate mortgages sank to the lowest average of the year last week, yet mortgage origination activity remains lackluster. In a recent blog post, Freddie Mac analysts point to three main factors behind the decrease in mortgage originations: The refinancing boom has ended. From 2013 to 2014, mortgage applications for refinancings have fallen …

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