Lets talk a bit about the real estate market and financing...this has a profound affect on all of us, not just me. Even the pundits, politicians and journalists realize that the state of real estate runs the economy. The problem with the general media is that they LOVE to sell...advertising, fear and panic. The media and politicians will tell you the state of the real estate market and how bad it is...citing Phoenix, Las Vegas, San Diego and Florida. To cite those areas is fine IF you live in those areas. I compare that to hearing it is 80 degrees and sunny....and it is...they aren't lying...it just isn't 80 degrees and sunny HERE! Somewhere it is....but not here...not in December!
Real estate is a local phenomenon. Like the "Convergence Zone" in Snohomish County. It might be raining there, but clear and windy in Marysville, or snowing in Arlington. If you want to see what is happening in YOUR area you can look out the window for the weather or call a local expert for the real estate temperature in your area. Getting the statistics for Snohomish County will give you a general idea, but it won't tell you what is happening in Mukilteo, for example, as compared to Darrington or Mill Creek. Each area is unique. If you want to know what is happening in YOUR area, call me or send me an email and I will put together a short report for your neighborhood showing recent activity, trends and projections. It will take a couple of days, but then you will really have the true picture.
Financing has sure changed over the last year hasn't it? I know that everyone is saying that there isn't any money for home loans and even if there was, nobody could qualify anyhow....right? NOT TRUE! As a matter of fact, the lending guidelines are loosening up a bit and we now have 3% down conventional loans, 3.5% FHA loans, 0 Down VA and Rural Development Loans...and believe it or not, I have actually found 1 or 2 ZERO DOWN CONVENTIONAL loans! The Interest rates have droped to a point lower than I can remember....on Friday, December 12th, they dropped to 4.875% for conventional and FHA loans!
So, is this a good time to buy or refinance? Absolutely! Believe it or not, it really is a good time to sell too! Even though prices are not what they were and your home isn't worth what it was 12 months ago, if you are thinking of moving up, remember that the house you would be buying is also not worth as much! And at 4.875 rates, your payment probably wouldn't be much more than you are paying now. The buyers that are out looking right now are serious and have all their ducks ina row and are well qualified and ready to move...that means fewer "Lookie-Loos" to interrupt your day...when they do come by to look, they mean business!
So much for business....I wish you all a very Merry Christmas, Happy Hannukah and a Happy and Prosperous New Year!
Comments(0)