1. Prices to bottom: After three years of continuously falling prices, homes will finally hit rock bottom in 2010. Projected bottom is expected to occur in the third quarter.
2. Mortgage delinquencies up: With the unemployment rate significantly elevated and an expected increase in the beginning of 2010, many borrowers won't be able to meet their payment deadlines until the job market stabilizes.
3. Foreclosures move upstream: The number of foreclosure sales will increase to nearly 2 million in 2010 and the trend of the fancier, more-desirable homes in foreclosure will continue.
4. Mortgage rates to rise: Expect rates to rise to 5.5% by mid 2010 and to nearly 6% by the end of the year.
5. Buyer's market remains: With the prices of homes still falling, historically low interest rates and the number of available houses on the market, buyers still have the power in this market.
6. Modification plan could be modified: The government may move next year to overhaul its modification program in two ways: improving troubled borrowers' negative equity positions by writing down some of the mortgage principal, and helping to turn troubled homeowners into renters.
7. FHA lending standards will increase: For those who had nowhere else to turn for a mortgage loan but to FHA, they better step up to the plate. Even FHA will tighten their restrictions on who is eligbile for loans.
8. Tax credit available until June: New homeowners have until June to close on a primary-residence property in order to receive the $8,000 tax credit. Current homeowners are alloted $6,500 for purchasing their next principal residence.
9. Markets will vary significantly by region: Rather than looking at national sales prices and markets, look more towards your local numbers to get a better idea of what you can expect.
Contact us today: 214.923.0261 or email us: info@archwoodproperties.com
www.archwoodproperties.com
Comments(0)