Washington Values on the RISE: As a local mortgage professional I get more calls these days from national lenders seeking to fund in our state. Why? Whatcom county in particular is experiencing property value GROWTH in the range of 5% with Washington at 9.1% tied with Montana for 3rd according to the Office of Housing and Economic Opportunity release last week.
Who Holds Loans?Most consumers don't realize that we fund mortgages through the same pools of investors as the local and regional banks. We also have access to a full range of Portfolio Loans ---useful for such things as construction due to managing the short term of building before conversion to a permanent loan. Banks also sell mortgages to make money on the margins. Often, my wholesale price is better than a local bank because I'm motivated and keep my operating costs down. The reason to consult a mortgage professional is more about choice and personal service. One credit report and application gets you hundreds of options.
Debunking the Panic: I know lenders doing low doc loans at 5-10% down for solid credit. We STILL have 100% options for many borrowers despite what you are hearing in the national news. Our Community and FHA/VA loans do the 100% job very nicely for anyone who has document-able income including marginal FICO scores to 65% LTV! Automated underwriting for borrowers with solid assets and credit can over-ride conventional guidelines.
New ideas are our biggest asset! It's time to stop being reactive and get creative. People will continue to move, refinance and need sane financing. It really pays to keep up on all the lending changes coming thick and fast now. For example, some lenders accept 1099 income verification for self employed borrowers...you have to know which lenders will honor this form of documentation (and I do!)
lnvestor opportunity: Given the reported 101% increase of foreclosures in Whatcom County, I suspect that many are cast-offs of "nothing down/get rich quick" schemers who thought picking up a few properties would be a fun and profitable exercise. Investment is a job, not a hobby. The current market means no more 'harvesting your equity' but running a very tight ship and keeping your properties performing. It's an opportunity for serious investors in residential or commercial real estate and I'm here to help you and your clients succeed!
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