Thursday, January 10, 2019 / by June Quilantang
We all can get a little too excited when planning to make a big purchase. So, to make sure you won't miss out on important trends before you enter the market this year, have a read on this and be in the know.
Mortgage interest rates had been on the rise for much of 2018, but they made a welcome reversal at the end of the year. According to Freddie Mac's latest Primary Mortgage Market Survey, rates climbed to 4.94% in November before falling to 4.62% for a 30-year fixed rate mortgage last week.
Despite the recent drop, interest rates are projected to reach 5% in 2019. The interest rate you secure when buying a home not only greatly impacts your monthly housing costs, but also impacts your purchasing power. Purchasing power, simply put, is the amount of home you can afford to buy for the budget you have available to spend.
As rates increase, the price of the house you can afford to buy will decrease if you plan to stay within a certain monthly housing bud ...
Wednesday, January 09, 2019 / by June Quilantang
There are a lot of things that could go wrong when selling a house. Things that would often leave sellers with unsold houses along with wasted time money and effort. Today let's talk about some of the things that FSBO comes along with.
Here are the top five reasons:
1. Exposure to Prospective Buyers
According to NAR's 2018 Profile of Home Buyers and Sellers, 95% of buyers searched online for a home last year. That is in comparison to only 13% of buyers looking at print newspaper ads. Most real estate agents have an Internet strategy to promote the sale of your home, do you?
2. Results Come from the Internet
Where did buyers find the homes they actually purchased? 50% on the Internet 28% from a real estate agent 7% from a yard sign 1% from newspapers The days of selling your house by putting out a lawn sign or putting an ad in the paper are long gone. Having a strong Internet strategy is crucial.
3. There Are Too Many People to Negotiate With
Here is a list of so ...
Friday, January 04, 2019 / by June Quilantang
Paying off mortgages takes time, but it's helpful to know that there are ways to shorten your mortgage payments by months or even years. Here are some ways to help you beat the loan clock legitimately and save thousands of dollars in the process.
Any additional payments to the principal amount (the original sum of money borrowed in a loan), helps to cut down the amount of interest that you will pay over the life of your loan and can also help to shave years off the loan as well. When you make 'extra' payments toward your loan, the key is to let your lender/bank know that you want the extra funds to go toward your principal balance as they will not automatically do this for you.
You don't have to double your mortgage payment to make a big difference either! If you have a 30-year mortgage on a median-priced home ($250,000) with a 5% interest rate, you'll be responsible for a $1,342.05 monthly principal and interest payment.
Over the course of the loan, if you pay your exact ...
Thursday, January 03, 2019 / by June Quilantang
Despite being one of the biggest decision drivers, the price of a home for sale is often overlooked when all the other factors aligned. Values are perceived by buyers differently and could arguably be the true defining factor for a buyer to make a decision.
1. Owning your home offers stability to start and raise a family
From the best neighborhoods to the best school districts, even those without children at the time of purchase may have this in the back of their minds as a major reason for choosing the location of the home that they purchase.
2. There's no place like home
Owning your own home offers you not only safety and security, but also a comfortable place that allows you to relax after a long day!
3. You have more space for you and your family
Whether your family is expanding, an older family member is moving in, or you need to have a large backyard for your pets, you can take all this into consideration when buying your dream home!
4. You have control ove ...
Wednesday, January 02, 2019 / by June Quilantang
In our previous posts, we have shown why we believe we are far from another housing crash in 2019. Here's a few more reasons to put your mind at ease.
1. There are fewer foreclosures now than there were in 2006
A major challenge in 2006 was the number of foreclosures. There will always be foreclosures, but they spiked by over 100% prior to the crash. Foreclosures sold at a discount and, in many cases, lowered the values of adjacent homes. We are ending 2018 with foreclosures at historic pre-crash numbers -much fewer foreclosures than we ended 2006 with.
2. Most homeowners have tremendous equity in their homes
Ten years ago, many homeowners irrationally converted much, if not all, of their equity into cash with a cash-out refinance. When foreclosures rose and prices fell, they found themselves in a negative equity situation where their homes were worth less than their mortgage amounts. Many just walked away from their houses which led to even more foreclosures entering th ...