My New Blog

Some good news:

Well, the mortgage industry is in change to say the least. And there's a bit of the good and bad to it all. You can read the headlines to get all the bad news, no reason for me to trumpet that charge. But there is some very good things happening that most folks aren't aware of.

Here's what's happening

The feds are in the process of raising the conforming limit on loans in high priced areas. Why is this good. Well, conforming loans, currently those up to $417,000, are insured by the government' therefore they are safer for the lender and you get better rates. When you go over that conforming amount to what is called a "jumbo loan" the risk goes up  and so does the rate. And in this hyper sensitive environment lenders have just pulled away from the risk and made getting a jumbo loan very difficult and expensive.

With the new legislation currently passing congress, the upper limit will increase, probably to over $700,000, therefor making it possible for many more people to get the better rates. It should give a jump start to the purchase market which has wallowed in stagnation for months.

The chatter

As I talk to real estate agents they are getting excited about what they see as a huge market coming on line. There's lots of folks wanting to purchase, and rates along with declining values, have now put a ton of homes right in a buyers crosshair.

When to buy?

So should you buy now or wait on anticipated additional price concessions.

I think you buy now and buy under the asking price, and you will probably have the price concessions built in. And remember, the rates now available are amazing and probably wont last. It's fair to say as the market improves you will probably see the rates move upwards.

'm a look'in

Where to find the homes? Get on craigslist and look at what's available. Also check the MLS site and talk to a real estate agent with experience in short sales. The short sale present an opportunity. And talk to your friends and family for anyone who may be thinking of selling. You don't have to have a real estate agent to do a deal. If you need more info let me know.

The bottom line is that the market is improving. There will still be bad news and you'll hear it all. Just remember that you have choices and a positive decision will get positive results.

Web sites to look at:

www.craigslist.com

http://www.realtor.com

http://www.redfin.com/stingray/do/start