2008 has been a year in which many new ideas have arisen, but also one in which old ideas have returned, especially that of “being green”. As we saw gas prices soar past $3.50 per gallon, I think that all of us made an effort to drive a little less, or recycle a little more.

At Province Mortgage Associates, we’ve worked to partner with national lenders offering green closings. With these banks, most of the closing forms are done electronically. Even the borrowers' copies of these documents are available digitally, saving hundreds of pages of paper. 

To show my appreciation for my clients' business and referrals this year, I had reusable shopping bags made for my closed clients and referral sources (see picture!). They hold as much as 4 plastic bags, can be reused hundreds of times, and save money, as stores like Stop & Shop and Whole Foods give credits for reuse of bags. I hope everyone who got them will get years of use from them!

2008 – Year In Review – What Will 2009 Bring?

2008 will be remembered for decades as a year of major financial upheaval. All of us have lost something, whether it is a job, value in our home or 401(k), or just faith in the system, but we are beginning to turn the corner. While prices are down, the number of homes sold is up. The stock market has stabilized at its current level, and the government is making an effort to grow jobs. Mortgage rates are at their lowest level ever.

For 2009, I expect further stabilization in financial markets. We’re running out of possible bad news, and, with the exception of a small number of negative amortization mortgages, nearly everything that can go wrong has, leaving only the task of cleaning it all up to next year. Expect to see home prices remain depressed, although further decreases are likely to be slight, and many areas could see appreciation start in late 2009 to 2010. If financing options for home rehabbers improve, this could happen quicker.

We are seeing more refinances now as rates approach 5% for many 30-year fixed mortgages. Here’s an example of what that does to monthly payments for certain circumstances:

If you owe  and are paying   6.5%      7.5%      P& I pmt. at 5% would be:

$150,000                         $948.10   $1048.82           $805.23

$200,000                         $1264.14  $1398.43          $1072.64

$300,000                         $1896.20  $2097.64          $1610.46

Like what you see? Call me at (401) 263-8655 for your personalized quote. Again, thank all of you for your support this year, whether it has come through personal business, referrals, or moral support. I can’t continue what I’m doing without you, and I look forward to helping you for years into the future. Best wishes for a great 2009! 

Dan Hartman

Senior Mortgage Advisor, MBA

Province Mortgage Associates