The word on the street is that Bank of America is beginning to foreclose at an alarming rate. This will likely dominate the market with foreclosures the likes we have never seen. Wow. The word I heard was that there will about 45,000 hitting the market per week by November 2010. That is astounding. You won't get a refi once that happens as could create such a low in some markets that we will be sent spiraling into never never land with Alice.
Lets try to see some good in this. That means we have a wonderful opportunity right now and until November to get those refinance loans that are out there for picking. John Q Public needs to get off the dime and look into that refinance they have been thinking about. If you have decided to stay where you are and fix your property the 203k can do that. See a 203k lender today, I wouldn't wait any longer. Make that room addition you have been putting off now and get settled into your new loan before the market drops. I'm afraid that if you wait you won't be able to get it done for a couple years and possibly longer. NOW is the time for the refinance market to kick into high gear. Get your home spruced up and at a very attractive 30 year or an even more attractive 15 year interest rate, but get it fixed up or get that room addition done now before it's too late.
If you have been thinking of buying but you found one house that is just right but too small, use the 203k to make the addition to it and buy it NOW. If you have a home that is too small to get an FHA loan (650 SF) then add on to it with a 203k loan NOW and add what you need to make it JUST RIGHT for you. If you are looking for a home and find one in the right neighborhood that would be perfect then realize it is "Perfect for the 203k" You can fix it up and make it just like you want it, add on to it, remodel or update it, increase it's energy efficiency, add solar electric, your dream is the only thing stopping this from moving forward.
I saw a home yesterday that needs some work and after looking it over the borrower found there was more money available for his work and happily added some new carpeting to make this home HIS. The program is great, we close in a reasonable length of time, and you get to add some of your own personality in the mix.
When you refinance and use the 203k quite often you don't need money to close. What? Yes, your equity may be enough. If you purchased a home that needed work within the past six months you may be able to get the money to fix it up with no more "out of pocket money" to close. So many people have been buying homes that need a little work but now realize they don't have the time of money to fix it like they thought they could... it is "Perfect for a 203k" so tell your client about it. If you sold a home that needed some work refer them to the 203k. You will be doing them a favor and they will think of you with their next purchase.
Comments(0)