Housing Fun
I’ve begun to see some posts on social media stating that Foreclosures are up a ridiculous percentage. Do not fall for that trap. It is not true. Here are the real year over year numbers:
For the most part delinquencies have dropped significantly with the exception of those over 120 days late and foreclosures have been sitting at or near record lows for years now. Overall delinquencies are down 2/10ths of 1 %. The reality is homeowners are sitting on record equity and that alone climbed 9.6% nationally in the same time period as above.
Up next we have home prices. NJ is 2nd on the list for home appreciation. The chart below you can find at FHFA.gov. NJ increased a whopping 11.5% Year over year at the end of the first quarter. Who is FHFA? That is the agency that oversees FHA, VA, Fannie and Freddie, basically any home financed with a conforming loan amount. It does leave out cash buyers and jumbo buyers, but it is a great overall representation for the typical buyer and our bread and butter.
We all know that inventory has been the challenge in the market and even with less buyer activity we still see prices climbing. When rates finally start to come down that is likely to cause even more upward pressure on home prices so the best time to buy was yesterday… the next best time is today.
Interest Rates: There has been a misconception amongst potential buyers that interest rates are at the highest levels ever. We know this isn’t true, (my first handful of years in the business rates were solidly in the double digits), so we do need to educate our buyers with the facts. The average rate on a 30yr fixed rate mortgage over the past 30 years is 7.75% While we have touched that number recently, we are usually significantly under that for buyers with a good credit score and the most recent economic data has rates slowly improving and if the trend holds, we may see 6s back as the new norm very soon.
Market: VA buyers have been gaining some foothold finally. I’ve had a few in the past few weeks that have finally gotten offers accepted after a looking for a long time and guess what: No Appraisal issues! In NJ I have also seen a progression into Burlington County as our typical Ocean County buyers are looking for more for their money. What have you been seeing?
If you are looking to purchase or refinance a home in NJ, please give me a call, I can also help you in all 50 states, CMG is licensed throughout the country.
Robert Rauf
Mortgage Loan Originator NMLS# 248937
http://www.RobertRauf.com
or my blog: http://activerain.com/blogs/rrauf
Office: (732)908-4868 Cell (732)740-0175
RRauf@CMGhomeloans.com
www.RobertRauf.com
Since 1987 I have been helping my clients fulfill their dream of home ownership! CMG Home Loans is located at 222 Commons Way Toms River, NJ 08755. NMLS #1820. Visit www.RobertRauf.com for more information. NJ Mortgages, New Jersey Mortgages, Mortgages in NJ, mortgage in New Jersey, Mortgages in New Jersey, Toms River NJ 08753, Toms River NJ 08755, Brick NJ 08723, Brick NJ 08724 Mortgage in Ocean County NJ, Mortgage in Monmouth County NJ, Jackson NJ 08527, Howell NJ 07731, Lacey 08731 08734, Beachwood 08722 Bayville 08721,
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