Posts Tagged ‘mortgage’

McDonald Group Real Estate Trends: It’s Still a Buyer’s Market in Portland

Wednesday, September 15th, 2010

The latest market report for the Portland Real Estate market shows a steady level of continued price reductions on homes for sale around the Portland Metro area. Back in August we talked here on the McDonald Group Real Estate blog about the Portland Business Journal article stating that thirty-two percent of Portland homes for sale in early summer experienced at least one price reduction, ranking  Portland No. 16 on Trulia’s list of price reductions in America’s 50 largest cities. Those numbers are sticking around.

A buyers market is one in which there are more homes available that there are people ready and willing to purchase them. With so many options to choose from in the Portland Real Estate market, buyers have the opportunity to pick up ridiculous deals on homes for sale in Portland that would otherwise be snapped up for much more. The buyers market means more options, lower prices, and higher competition amongst sellers, which makes homeowners and Portland real estate agents more willing to compromise and negotiate price reductions on all types of homes.

Signs of a buyers market in Portland are everywhere – this is the time to upsize or move into a more desirable area, as there are literally hundreds of gorgeous homes at rock bottom prices, including luxury foreclosures, high-end short-sales, bank-owned homes, and affordable listing prices on homes priced well below their previous market value. A balanced buyer/seller market has around 5 or 6 months of inventory. The Portland Real Estate market is currently just below 11 months. If you’re trying to sell a home in Portland, you’re going to need to price competitively and think about upgrades to make your house more attractive to the increasingly savvy buyers. The average sale price in the Portland Real Estate market is around $297,000 and homes for sale in Portland typically stay on the market for around 121 days. There’s really no good way to tell how long this buyers market will last, so be sure to take advantage of these record low prices, record low interest rates, and the amazing supply of affordable dream homes out there on the Portland Real Estate Market.

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Portland Real Estate Trends: Homeowners Slashing Prices

Thursday, August 12th, 2010

In a report published in the Portland Business Journal yesterday, we learned that thirty-two percent of Portland homes for sale, listed since the beginning of this month, experienced at least one price reduction. That ranked Portland No. 16 on the website Trulia’s list of price reductions in America’s 50 largest cities.

The average reduction for Portland homes was 9 percent, just under the national average of a 10 percent reduction on 25 percent of newly listed homes. With historically low interest rates, cutting-edge sustainability renovation rebates and low remodeling costs, and a high supply of beautiful homes for sale with great Walk Scores, this is a perfect time to grab a great deal.

As Scott McDonald of the McDonald Group said back in June, “We all know mortgage rates are low right now, but Freddie Mac really put a light on it by saying they are currently lower than they have been since they began tracking this data in 1971 and MSNBC.com states the last time they were this low was in the 1950′s. Yup, the economy stinks right now, but if you’re in a position that’s somewhat insulated from economic trends and are thinking of buying a home, now really is the time.”

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LENDING 101 – Loan Types, Bankruptcy, VA, FHA, USDA….

Tuesday, June 15th, 2010

Steve Nassar of Alpine Mortgage (503) 805-5582  snassar@alpinemc.com has shared the following great info on all sorts of lending topics. Read on- 

FHA-  

  • Although FHA has a minimum FICO score of 580,  the industry has dictated a minimum 620 score with most investors requiring a minimum of 640.
  • Minimum Down Payment is 3.50% and must come from the buyer or be an acceptable gift to the buyer.
  • Seller can contribute up to 6% of the sales price.
  • No Non-Allowables required to be paid by the seller.
  • Buyer can currently be in a Chapter 13 Bankruptcy and still purchase.   They can also purchase as soon as three years after a foreclosure and two years after a Chapter 7.
  • It is an assumable loan (important when rates go to 8% and they are at 5%)
  • Buyer can have collection accounts and not have to pay them off
  • Don’t forget that beginning this Friday June 18th we will also have the FHA 203k loan program available in-house with our own underwriting, docs and funding department in complete control.                                                                        

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Bruce Howard with Landover Mortgage: Daily Market Commentary – May 5th 2009

Tuesday, May 5th, 2009

landover_01In a widely circulated story, Barack Obama was apparently misquoted. Leading publications state that he said, “Wait a minute now, I didn’t authorize attacks on the Pirates, I authorized a tax on the pirates.”

GMAC Financial Services reported a first quarter 2009 net loss of $675 million, compared to a net loss of $589 million in the first quarter of 2008. They attributed the losses to “continued pressure in mortgage operations related to valuation adjustments on mortgage servicing assets, weaker credit performance on both auto and mortgage assets, mark-to-market adjustments on derivatives, and an original issue discount related to the fourth quarter debt exchange.” In similar fashion, Radian Group (the #2 mortgage insurer) posted a first-quarter loss of $217 million, hurt by unrealized loss on derivatives and continued increase in mortgage-insurance defaults.

Back to the markets! As long as the Federal Reserve Bank of New York keeps buying agency MBS’s, everything is ok, right? Let’s hope so, since they continue to be the dominant buyer by far. Last week they had “net purchases” of $23.1 billion, gross purchases of $59.6 billion. 97% of purchase activity is limited to 4.0% and 4.5% MBS’s, which typically encompass 4.25-5.125% mortgages – and only 7% of the securities are Ginnies comprised of FHA and VA loans.

Yesterday we had some good economic news, and the markets moved accordingly. Pending Home Sales rose 3.2%, and the Housing Affordability Index remained near record highs – certainly much higher than it was a year ago. Construction Spending was +.3% in March, which is the first increase in six months. Yes, most of it was increases in commercial and government projects, but we’ll take what we can get. Today we have the small issue of selling $35 billion in 3-yr Treasury notes, which may keep rates a little high in spite of the market being technically oversold. Currently the 3-yr yield is 1.39%, the 10-yr is 3.15%, and mortgage prices are better by .125-.250. Bernanke’s testimony had little impact on MBS prices.

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New Mortgage & Lending Information Page

Thursday, December 18th, 2008

We have several resources on our site for buyers but nothing really detailed about lending, credit issues, points etc until now. Obviously there are a lot of sites on the internet that provide this information however we find most of the information out there is either sporadic bits and pieces here and there or far too extensive and confusing or just a page with limited information and riddled with ads. So in an effort to provide a “one stop” mortgage and lending information page for our clients and website users we put together the following page: http://www.yourroadmaptohome.com/mortgage_lending_information.htm. (more…)

Mortgage rates increase after weeks of decline

Thursday, January 31st, 2008

After a month of declining rates, mortgage rates experienced a slight increase according to Freddie Mac’s weekly survey. The 30-year fixed-rate mortgage averaged 5.68% during the week ending Jan. 31, up from last week’s 5.48%. The mortgage averaged 6.34% a year ago. The 15-year fixed-rate mortgage averaged 5.17%, up from 4.95%. The mortgage averaged 6.06% a year ago. Still, rates are significantly lower than in years past and times seem opportune for qualified buyers and some folks looking to refinance.