Real estate blog entries tagged with interest rates by Colorado Dream House Team, Real People. Real Professionals. Real Estate (Keller Williams Realty DTC)

Home : Blogs : Colorado Dream House Team : Colorado Dream House Team Blog : Tag "interest rates"

interest rates: Interest Rate Rise? By Marc Bayes - 03/16/15 07:16 AM

Did you know that U.S. employers added 295,000 jobs last month? This report comes directly from the government, and the news had a pretty substantial impact on the real estate market. If you didn’t know, interest rates are determined by national and worldwide factors. Interest Rates are also the heart of the real estate business since the changing of the rate can determine if you can buy or can’t buy.
With the news of the increase of jobs last month and the decline in unemployment, it looks like the economy is taking a turn for the better; which is great news. … (1 comments)

interest rates: You Are Still Missing The Double Whammy By Dan Polimino - 07/07/14 07:18 AM

It’s been a well-known seller’s market for some time now in Denver. Even builders have buyers over a barrel since there is so little re-sale inventory. This is much to the dismay of many buyers in the market.
I have heard this many times before from buyers, “Dan, I feel like I am buying at the top of the market.” Maybe it’s not quite yet the top of the market, but certainly soon. It is true that home prices are higher now than back at the peak in 2006. If your plan is to wait until home prices come down, I don’t think that’s … (0 comments)

interest rates: Top 5 Expert Predictions for 2014. By Michele Lerner. - 01/27/14 09:42 PM

The U.S. real estate market made a robust comeback in 2013, surpassing expectations of many economists, as the combination of low inventories and historically low interest rates caused home prices to rise and even helped fuel bidding wars in some markets, surpassing the expectations of many economists. While positive trends, such as increasing home values, are expected to continue into 2014, mortgage rates are also expected to rise in the coming year and could put a damper on home buyers’ abilities to afford new homes.
For more information, check out http://smartdenverrealestate.com/expert-predictions-2014/
Start your Colorado Dream Home Search now!
… (0 comments)

interest rates: Interest Rates Have Dropped. By Marc Bayes. - 10/22/13 09:11 PM

It’s October and the interest rates have dropped to just 4.07% which is huge because they will probably never be this low again. Which I also know that that’s what every buyer has been hearing since the 2012, “They’ll never be this low ever again” yet so many buyers are waiting till 2014 to purchase when they have the ability to do so now.
October 14th, 2012 interest rates were as low as 3.27% which is a number so astounding it’s hard to wrap your head around it. Fast forward to October 3rd, 2013 and they are at 4.07%. Interest rates … (0 comments)

interest rates: Maybe I Should Wait Until Spring. By Dan Polimino. - 10/07/13 09:50 PM

“I thought about putting my house on the market this fall, but maybe I should wait until spring?” I have heard that a few times this past September, but are you sure you want to do that? Before you make that decision, I think that you should consider the following:
1) There most certainly will be more inventory on the market come next April. More inventory means more choices for buyers. More choices mean that the leverage and balance of power sways toward the buyer. The final analysis is that the seller gets neither the full price nor close to asking … (2 comments)

interest rates: Online Home Search. By Marc Bayes. - 09/10/13 11:03 PM

It’s September 11,2013 and you’ve decided today is the day you’ll being your online home search. You’ve dabbled with the idea of buying a new home but you’re ready to go online and see what homes are for sale right now. I’m writing this because as of 2013 online home searches are up 253% over the past four years and 90% of the people buying today begin their search online.
Twenty years ago no one would have thought of doing an online home search for their new home. Today it’s how people search for homes. Most buyers only rely upon the … (0 comments)

interest rates: Hello Second Selling Season. By Dan Polimino. - 09/09/13 08:33 PM

You have heard me say for years that the best time to sell a home in Colorado is between April 1st and July 31st. We call this the First Selling Season. The second best time to sell a home in Colorado is from September 15th though November 15th. If you did not get your home on the market this past summer, do not worry; your next best chance is only a week away. If you decide to put your home on the market, you may just be timing it perfectly.
I expect the August numbers to come out on the first … (0 comments)

interest rates: If You Can’t Buy It Then Build It! By Marc Bayes. - 02/05/13 07:03 PM

The start of 2013 is in full swing and it’s still a Seller’s Market in every sense of the term. At the years end there was just over 6,000 homes for sale in the Denver Metro Area. That’s the lowest we’ve ever seen in Colorado. We’ve also seen that there are more and more people looking to purchase a house with the historic low interest rates. Lots of buyers, very little inventory, 2013 is looking extremely competitive. So what do you do if you can’t find a house to purchase?
The reasonable solution is to purchase land and build from … (1 comments)

interest rates: Assumable Loans Are Back. By Dan. - 09/10/12 10:21 PM

Just last month, I was able to refinance my home to an even lower rate than what I had in 2008. I am just amazed that I have a mortgage with less of an interest rate than what my parents paid for our home in 1968. What really blew me away was when my lender told me that my loan was assumable. I thought assumable loans were a thing of the past, but FHA loans are assumable, and now some conventional loans are as well.
The assumable loan was almost a must for homebuyers in the late 70’s and early 80’s … (3 comments)

interest rates: Act now! 10 major housing markets with the shortest supply of homes - 04/09/12 07:14 PM

Denver
Decline in inventory: 42%
This mountain-high city never experienced the highs and lows in home values that its coastal counterparts did. And now, with rents rising and vacancy of just 2%, more apartment-dwellers are taking the plunge into homeownership, local broker Gary Bauer says.
This city's inventory in February was down 42% from the same period a year earlier, at just 10,086 units. The number of homes going under contract spiked 19% between January and February of this year as buyers raced to take advantage of low interest rates and relatively low prices.
"I'm not sure what magic thing happened … (6 comments)

interest rates: Happy Real Estate New Year 2012. By Dan Polimino. - 01/02/12 09:37 PM

Ok, it’s that time of year again to rub my crystal ball and foretell the coming year in real estate. I should disclose that I am not a professional crystal ball reader so take this interpretation for what it’s worth (totally free, unscientific guess).
First, it’s important to note (like you don’t already know) that this is an election year and that means nothing will be normal. If we look back at past election years, we see people being very conservative, playing it close to the vest, not making any big decisions or purchases until they know whom their elected officials … (0 comments)

interest rates: What is the Ratchet Effect? - 11/03/11 05:06 AM

The Ratchet Effect is one of the few economic theories that has any relation to reality. As President Harry Truman succinctly observed, if you laid every economist end to end, they would point in every direction, and only be able to explain things after they have happened. In essence it holds that some prices move a lot faster in one direction than another. One example is the price for gasoline, another is long term interest rates for mortgages. While money is still at historic lows, we have seen interest rates fluctuate a lot in the last month. Interest rates always rocket up and float down.
Trying to guess the direction of interest rates, particularly … (0 comments)

interest rates: The Train Is Leaving the Station. By Dan Polimino. - 02/21/11 10:43 PM

I want to dispel one myth right away, and that is, Realtors do not utter the sentence “It’s a great time to buy” 365 days a year. At least I don’t, and the reason why, is simply because I do not want to be the boy that is constantly crying wolf. When I think that there is a real opportunity to buy and my clients should take advantage of it, I want them to REALLY listen to me. If I am always trotting out the old “you really should buy now” mantra, then pretty soon, it will fall on deaf ears. … (0 comments)

interest rates: Critical Information to my Home Buyers - 02/10/11 08:30 PM

Hi Everyone:
I have been working on a newspaper column for the Denver Post and I am uncovering some critical information that I thought I should pass on to my home buyers NOW before the column comes out. I think the column will be entitled “The Train is Leaving the Station.” There are too many signs right now that buyers are ready to jump into the market and start buying quickly.
1. Cash buyers are coming in to the market quickly and buying big junks of properties. Please read the story I have attached below from the Wall Street Journal from … (4 comments)

interest rates: A Hidden Benefit of FHA Loans - 01/02/11 07:48 PM

No one can predict where interest rates will be in the future. If rates shoot up sharply, homeowners who purchased or refinanced during this time of historic lows with a FHA mortgage may have an advantage when they go to sell. Imagine you are selling your home that has an assumable mortgage with a 4.5 percent interest rate and the comparable properties require a new mortgage with current rates of 6.5 percent.
FHA loans are assumable by QUALIFYING owner occupants. This means that a potential buyer would approach the existing mortgage holder and be approved to take over the mortgage. The original borrower would be released from liability and would … (3 comments)

interest rates: New Year’s Forecast. By Dan Polimino. - 12/27/10 11:51 PM

It’s time to ring in a New Year and for many people, this could mean a lot of things. For me, it always symbolizes a fresh start and a new beginning. I try to shake off the bad from the previous year, learn from my mistakes, and make the next day and next year even better. A New Year in real estate could also mean a lot of things so let’s take a look at what could potentially happen in 2011.
1) The real estate market is tied to the economy and the economy is tied to jobs. More jobs … (1 comments)

interest rates: Homebuyers Benefit From Jump In Interest Rates - 12/22/10 08:40 PM

Mortgage rates shot up sharply this week. The benchmark 30 year fixed rate mortgage was at 5% according to one survey of national lenders. The current rates, while still low by historical standards, are at the highest level in seven months. Consumers looking at refinancing an existing mortgage are hearing the wake up call and locking loans. They realize while they may have missed the bottom the smart thing to do is take the money and run, if the numbers justify it.
A savvy first time buyer I have been working with is not concerned about the increase in rates. She correctly analyzed the numbers and found that the difference … (0 comments)

interest rates: The Real Cost Of The Recent Jump In Interest Rates - 11/30/10 10:23 PM

I closed a $222,000 FHA streamline loan for a client last week at 4.25% for a thirty year mortgage. The client had no closing costs and received a generous escrow credit. The loan was locked on November 9. I priced the same loan on Friday, the 26th, and the cost has increased by over $4,100!
I was fortunate that this client was astute. He was smart enough to know that he could not predict interest rates, and looked at the numbers and wisely decided to take the money and run. Of course a borrower could still do a no closing cost loan, but the rate would now be … (1 comments)

interest rates: If You Were Gambling On Lower Rates, You May Have Lost - 11/22/10 11:05 PM

Interest rates rose sharply last week for fixed rate mortgages. Freddie Mac reported Thursday that rates for a 30 year fixed rate mortgage rose to 4.39% from 4.17%. The 15 year loan increased to 3.76%.
It is impossible to consistently and accurately predict the direction of interest rates. The way to win this game is simple: do the numbers to see at what point, based upon all the information, it makes sense to refinance. Then take the money and run. Most consumers know that you cannot check the odds on the Super Bowl and then place a bet after the game. All too often we see … (6 comments)

interest rates: Better off without the Tax Credit? - 08/31/10 02:28 AM

Yes, you might be better off buying now than when the tax credit was in effect. The reasons are very simple. A historic drop in interest rates and less competition if you are buying residential property under $400,000. If you were taking out your mortgage today, your interest rate would probably be around 4.5% for a thirty year fixed rate mortgage. Rates in April were right around 5.25%. You would be spending $135 less on your monthly payment, for an annual savings of $1,620 per year.
Home sales hit a wall with the expiration of the tax credit, reminiscent of how … (4 comments)

Related Links: