Friday, August 17, 2012

Rates UP--Just an Aberration:
Rates this week really spiked--3.625% for 30 year fixed rates. But my mortgage broker friends tell me it's not the start of an overall increase in the rate market. One of them described it as, "August--everyone's in the Hamptons and nobody's trading bonds." So, few trades on the bonds that underlie the mortgage market and everyone not on the beach covers themselves to protect themselves, with the result that rates climb. Check back after Labor Day when the bond traders are back at their computers and the kids are back in school.
Separately, in stats just out today, the median price for Marin climbed in July by over 3%. Fueled by a drastic shortage of inventory, what else could happen? However, it wasn't a clear rise across the board. A few towns actually showed a drop in median price, Mill Valley among them.
What does all of this mean? My litany remains unchanged. Whether you're a buyer or seller, the market conditions couldn't be better to get involved. There are lots of buyers out there with cash in hand, benefiting sellers. For buyers, low rates, even at 3.625%, still makes it a great time to be buying.
Questions/need assistance? Give us a call: Peter: (415) 279-6466; or Jane: (415) 531-4091.

Friday, August 10, 2012

Well, rates rose again this week, the second consecutive week of increase after a long line of reductions. However, as the headline above indicates, the increase was minuscule. The rates, quoted in a moment, are still very near historic lows and a very good reason for buyers to keep looking for homes and sellers to consider placing their homes on the market.
Now for the rates:
30 years fixed: 3.59%, compared to 3.55% a week ago; and 4.32% a year ago;
15 years fixed: 2.84% compared to 2.85% last week; and 3.50% a year ago. As the one year comparisons prove, even with the week to week rise, rates are still markedly under last year's rates, which were considered unheard of for their low level at that time.
Need advice or help? Call us; we'd be pleased to assist: Peter: (415) 279-6466; Jane: (415) 531-4091.

Friday, August 03, 2012

Rates & Jobs UP!! So Are Prices!
The first sounds bad, but isn't and the second sounds good -- and IS! First, mortgage rates. As those of you who follow this blog already know, I have often emphasized the importance of the continuing low rates. Well, this week they increased, but not to worry! The increase was minimal--just seven hundredths (lenders call these 'basis' points) of a percent from last week. So still excellent rates if you're a buyer. If you're a seller, they are still excellent rates for potential buyers to be able to make an offer for your home. So, either way, you benefit.
I have also recently emphasized that a seller has a better chance if there are more people with jobs, because if someone is working, he/she is more likely to be able to get a loan and buy a home. Well, in figures released today, over 163,000 new jobs were created. While that's nationally, part of those numbers are right here in the Bay Area and some of those in Marin. So you now have more folks who may be legitimate candidates to buy your home.
Finally, the comment at the top about prices being up is based on the most recent Case-Shiller report, released at the start of the week. For the first time in nearly four years, all twenty municipal areas that comprise the report were all up. That's good, but what's even better for sellers is that the highest jump was right here in the Bay Area, with an increase of over 3% from a year ago. While that makes it a bit more costly for you buyers, there are still many opportunities for the buyer who is pre-approved for their loan and moves quickly. For sellers, the figures speak for themselves.
Need some advice or assistance? That's what we're here for. Call Jane at: (415) 531-4091 or Peter at: (415) 279-6466.