It has been a while since our last update and a lot of things have changed in the market. First off, I have been WAY off on what I had predicted of interest rates this year. When the economy originally started to recover and the Federal Reserve announced they were no longer going to purchase mortgage back securities to keep rates low it was a foregone conclusion that at some point rates would rise. Now that the economy and housing market is slowing the Fed is back in the game and interest rates are dropping. As of today here are some current rates.
30 Year fixed up to $417,000 4.25% – No Points
30 Year fixed up to $697,000 4.50% – No Points
30 Year fixed FHA to $697,000 4.375% – Little as 3.5% down
15 Year Fixed up to $417,000 3.75% – No Points
30 Year Jumbo to $2,000,000 5.25% – No Points
- PS—If you are with Navy Federal Credit Union they have some AMAZING programs. Call us for more info and a personal referral.
Just for reference a $100,000 at 4.5% on a 30 year loan is a payment of $506 a month. This is making homes very affordable relative to rents. Needless to say, with these rates, the recent bump in inventory and better pricing, as a buyer I am purchasing as many cash flow properties as possible in the next 6-9 months. As a seller we are pricing our rehabs COMPETITIVELY and they are selling. It is all about price and rates.
The market has slowed down from the first half of the year. Buyers have more options, less competition, better rates and overall more opportunity. That is not to say properties are not selling. Our listings are selling….why? Because they are PRICED RIGHT! In any market there are opportunities for buyers and sellers….if THE PRICE IS RIGHT. I don’t predict another free fall for prices but I do think the market will be soft through the first part of 2011 creating opportunities for those with patience, a plan and good advice. We can help you with the plan, advice and maybe even patience.
The first step is to start watching and tracking inventory and sales in your area of interest. A great tool to get started is Listing Book which is current, accurate and relevant data not from 3rd party sites.
Get More Info & Set Up Your Own Listing Book Account Here!
If you are thinking of buying or selling property in San Diego in the near to mid-term give us a call or email to see how we can help.
Remember, if you see any properties you are interested in seeing just let us know and we can make arrangements!
As always, thanks again and enjoy what is left of your summer!
Featured Properties at ProFund Real Estate
ProFund Real Estate on Facebook!
Filed under: Interest Rates, Market Update - Stats, San Diego Foreclosures, Uncategorized | Leave a Comment »