Mortgage rates dropped for the third week in a row to their lowest point this year on signs of economic weakness, Freddie Mac said in releasing the results of its latest Primary Mortgage Market Survey.
Rates on 30-year fixed-rate mortgages averaged 4.71 percent with an average 0.7 point for the week ending May 5, down from 4.78 percent last week and 5 percent a year ago.
The 30-year fixed-rate mortgage hit an all-time low in Freddie Mac records dating to 1971 of 4.17 percent during the week ending Nov. 11, 2010, and so far this year has ranged from 4.71 percent in early January to a high of 5.05 percent in February.
Rates on 15-year fixed-rate mortgages averaged 3.89 percent with an average 0.7 point, down from 3.97 percent last week and 4.36 percent a year ago. That's a new low for 2011, but well above the all-time low in records dating back to 1991 of 3.57 percent, set in November.
Rates on 5-year Treasury-indexed hybrid adjustable-rate mortgage (ARM) loans averaged 3.47 percent with an average 0.6 point, down from 3.51 percent last week and 3.97 percent a year ago. The 5-year ARM hit a low in records dating to 2005 of 3.25 percent in November.
Monday, May 9, 2011
Thursday, May 5, 2011
Loans and down-payment programs can help you buy a home
The lending industry has tightened their criterias. However, there are still programs available to help you get into a home. Rent prices are on the rise and despite all the news, you can still buy and get help with closing and down-payment.
Nationwide, rents started edging up last year after several years of little growth or even declines, market researcher Reis says. It predicts apartment rents will jump 4.3% this year, marking the biggest annual increase in four years. MPF Research, which also monitors apartment rents, expects them to rise more than 5% this year, says Greg Willett, MPF Research vice president.
Job growth is driving much of the increase. As more people get jobs, people who doubled up in homes during the recession, especially younger workers, move out on their own, says Ryan Severino, Reis senior economist. Many of those workers are choosing to rent rather than to buy, because of dropping U.S. home values and tight lending standards that make it harder to buy homes, Severino says.
Lack of construction is also helping rents. This year, just 40,000 new apartment units are expected to be added to the U.S. supply, Reis says. That's down from about 130,000 new units each year for much of the past decade.
Apartments make up about half the nation's rental supply, Willett says. Single-family homes and condominiums account for the rest.
Take time to investigate about buying instead of renting. You may be happy with the results.
Nationwide, rents started edging up last year after several years of little growth or even declines, market researcher Reis says. It predicts apartment rents will jump 4.3% this year, marking the biggest annual increase in four years. MPF Research, which also monitors apartment rents, expects them to rise more than 5% this year, says Greg Willett, MPF Research vice president.
Job growth is driving much of the increase. As more people get jobs, people who doubled up in homes during the recession, especially younger workers, move out on their own, says Ryan Severino, Reis senior economist. Many of those workers are choosing to rent rather than to buy, because of dropping U.S. home values and tight lending standards that make it harder to buy homes, Severino says.
Lack of construction is also helping rents. This year, just 40,000 new apartment units are expected to be added to the U.S. supply, Reis says. That's down from about 130,000 new units each year for much of the past decade.
Apartments make up about half the nation's rental supply, Willett says. Single-family homes and condominiums account for the rest.
Take time to investigate about buying instead of renting. You may be happy with the results.
Tuesday, May 3, 2011
Maryland Real Estate by Pamela DuBois: Homes are selling despite what the media is saying...
Maryland Real Estate by Pamela DuBois: Homes are selling despite what the media is saying...: "One of the biggest misconceptions in today’s housing market is that homes are not selling. That is simply not true. Last month’s Existing Sa..."
Maryland Real Estate by Pamela DuBois: Homes are selling despite what the media is saying...
Maryland Real Estate by Pamela DuBois: Homes are selling despite what the media is saying...: "One of the biggest misconceptions in today’s housing market is that homes are not selling. That is simply not true. Last month’s Existing Sa..."
Homes are selling despite what the media is saying
One of the biggest misconceptions in today’s housing market is that homes are not selling. That is simply not true. Last month’s Existing Sales Report from the National Association of Realtors (NAR) showed that homes were selling at an “annual rate of 5.10 million”. That’s an average of 13,973 every day – 365 days a year!
And the monthly Pending Sales Report, which measures the number of houses going into contract each month, has showed increases in six of the last nine months prompting Lawrence Yun, NAR’s chief economist to say:
“Since reaching a cyclical bottom last June, pending home sales have posted an overall gain of 24 percent and demonstrate the market is recovering on its own. The index means modest near-term gains in existing-home sales are likely.”
We realize that 40% of the sales are distressed properties and that 22% of buyers are investors. Yet, that still doesn’t negate the fact that homes are in fact selling… and 60% of them are NOT foreclosures or short sales.
And Yun believes this uptick will continue:
“Based on the current uptrend with very favorable affordability conditions, rising apartment rents and ongoing job creation, existing-home sales should rise around 5 to 10 percent this year.”
Bottom Line
Homes are selling. You probably will need to offer a compelling price if you put your house on the market. But if you do, it will sell.
And the monthly Pending Sales Report, which measures the number of houses going into contract each month, has showed increases in six of the last nine months prompting Lawrence Yun, NAR’s chief economist to say:
“Since reaching a cyclical bottom last June, pending home sales have posted an overall gain of 24 percent and demonstrate the market is recovering on its own. The index means modest near-term gains in existing-home sales are likely.”
We realize that 40% of the sales are distressed properties and that 22% of buyers are investors. Yet, that still doesn’t negate the fact that homes are in fact selling… and 60% of them are NOT foreclosures or short sales.
And Yun believes this uptick will continue:
“Based on the current uptrend with very favorable affordability conditions, rising apartment rents and ongoing job creation, existing-home sales should rise around 5 to 10 percent this year.”
Bottom Line
Homes are selling. You probably will need to offer a compelling price if you put your house on the market. But if you do, it will sell.
Maryland Real Estate by Pamela DuBois: Helping buyers find the right home
Maryland Real Estate by Pamela DuBois: Helping buyers find the right home: "When I help prospective buyers locate a new home I listen carefully to their goals. What are their criteria for selecting a neighborhood, wh..."
Helping buyers find the right home
When I help prospective buyers locate a new home I listen carefully to their goals. What are their criteria for selecting a neighborhood, what style of house do they prefer, what price range and floor plan meet their needs? Will any special considerations go into making the home buying decision? When I have a good picture of what the buyer wants, I will go to work to find the best property on the market that will accommodate those needs.
I succeed when I can make the buyers' goals my goals. Finding the perfect home is a collaborative effort. The buyers communicate what they want, why they want it, and where compromise might be possible, and I listen carefully to select the homes that come as close as possible to meeting the needs expressed. When there is trust and communication between the buyers and myself, miracles can happen! Creating these miracles for buyers and sellers is "Job #1" for us.
I succeed when I can make the buyers' goals my goals. Finding the perfect home is a collaborative effort. The buyers communicate what they want, why they want it, and where compromise might be possible, and I listen carefully to select the homes that come as close as possible to meeting the needs expressed. When there is trust and communication between the buyers and myself, miracles can happen! Creating these miracles for buyers and sellers is "Job #1" for us.
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