DECEMBER UPDATE
The experts say the economic outlook for our area is bleak. Unemployment continues to grow and consumer spending obviously has been affected. Real Estate, once thought a never-ending source of growth has entered a record-breaking decline locally.
That said, interest rates for a 30 year fixed conventional loan are hovering around 6% and the USDA 102% home financing has just been refunded for another year. That home you have been keeping a watch on its price just dropped.
A good sign that we are near the bottom of this terrible cycle is the investor dollars are back. No longer feeling safe in the volatile stock market we are seeing more and more investors returning to real estate.
And why not. Lot prices are back down to where they were before the boom and foreclosed homes are just spending days on the market. Lee County has invited some retired judges back to help with the backlog of these foreclosure properties and are considering online auctions for these homes as a way to get them off the books and into tax paying hands. It is a painful process for the homeowners involved but it has to happen for our market to rebound.
The federal bailout will not help too many families in this county. If you have a second mortgage or home equity line, you do not qualify. But if you are facing foreclosure, the good folks at hopenow.com can be a good source of advice.
Our office can help you with a short sale if that is your chosen path but we advice working with your bank on a loan modification first or ask for forbearance, a period of time you do not have to make payments.
What if you just need or want to sell your home? Well you are competing with all of the foreclosed properties and short sale homes. So it is even more important than ever in pricing your home correctly and forget the old ways of anticipating a price negotiation and adding that amount on to your asking price. It will not get bodies into your home because of the intense competition. I could rent a plane with a banner saying look! Home for sale but unless it is priced right, your home is invisible.
Buyers we have been finding bargains for our home buyers for months now and if you call our office, we will help you find them too. Be aware though that if you want to buy a foreclosed home or a short sale property you must submit a preapproval letter from a lender with your offer. We can recommend several lenders for that necessary step. But now's the time to buy and we can make it easy for you.
Team Assist2Sell Sellers & Buyers Advantage Realty wants to wish all our past, present and future customers a happy and healthy holiday season. May all your dreams come true.
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