TIME KEEPS ON SLIPPING INTO THE FUTURE...

Time keeps on slipping into the future…and it’s hard to believe there are less than eight weeks left until we greet 2016 and say goodbye to 2015!
Anyone wishing to purchase a home with a loan during 2016 had better get on the stick and make an offer this week. With the requirements set forth by the Consumer Finance Protection Bureau, many lenders are requesting 45 days from start to finish for a loan. FHA and VA loans will definitely take that amount of time and 45 days takes us to December 24 if that offer and loan is applied for today. And then we run into the Christmas and New Year’s Holidays.
Buyers and sellers need to think about time frames. 45 days takes us into a month and a half. Some lenders can still do a loan in 30 days but the buyer needs to have his ducks in order and should obtain a list of everything the lender needs and get those documents to the lender as soon as possible. Ask your agent if he/she has a lender who can process and fund the loan in 30 days, some can, my lender can, but they require cooperation from the buyer.
We are on the Fed merry go round again, will they or won’t they raise rates? Fed action has an impact on home sales. With the increase in jobs reported last week, a lot of money in the know is betting the Fed will raise rates. Janet Yellen has hinted as much. For every percentage increase in interest, the buyer can purchase less house because more money is going to interest.
This does not just impact the buyers. Sellers too are affected. If a buyer has to pay more in interest, that leaves less money to pay for the house-i.e. net to seller. If you are thinking about buying or selling a home, this may well be the time to act. Time keeps on slipping into the future…