Good news if you own a home in a flood-prone neighborhood

Own a home in a flood-prone neighborhood?  It's worth revisiting your home owner insurance rates.  You might even be due for a premium refund!  Congress just scaled back big flood insurance premiums passed in 2012. Realtors -  Selling homes in flood areas also got easier since most buyers can retain preexisting rate subsidies.

Mortgage Rates Fall Back to Unchanged After FOMC

Mortgage Rates were on the rise after Fed's March 19th announcement.   Fed released minutes today to further explain some of the factors that may have concerned markets back in March.  The Fed expressed its own concern that markets had "misconstrued a shift in Fed forecasts" for the first rate hike.  In general, "Fed accommodation" has been beneficial for interest rates.  Short version:  no need to panic and rates are headed back down to where they were on March 19th before this announcement.

Back to Normal?

Why consider ARMs (adjustable-rate loans)?  Rates are much-lower than fixed-rate loans and most homeowners don't stay in their home for 30 years. ARMs can be particularly appealing those approaching retirement age or anyone planning to sell their homes within a relatively short period of time.  Professionals completing a residency or internship program who wants to build equity should consider this option.  Even better news is the pendulum is swinging away from "restrictive" credit and back toward normalcy. The risk, of course, is the pendulum swings too far toward "easy" credit and buyers feel compelled to take ARMs as home-price appreciation and higher rates have made homes far less affordable today compared to a year ago.  It's a balance for this pendulum so it is always better to discuss your specific situation with a Mortgage Broker to truly understand your best options. 

Homes will appreciate 4.5% in 2014

According to Money's latest poll from February, Americans' average mortgage debt in 2013 was $149,925. The good news for all home owners is that the average home appreciation projected for 2014 is 4.5% Great news if you are interested in refinancing this year!

As predicted, Mortgage rates were sharply higher today.  Hope everyone floating locked last week as per my last post.  As concern grew over geopolitical tension in Ukraine, Mortgage rates went from best levels in a month to the worst levels in more than a week.

Time to Lock in Rates - Reversing Trend

Time to lock in rate if floating. Analysts predict rates creeping upward next week.  Rates gradually increased end of 2013, became lower in January and now reversing trend

Bad Credit Score = Bad Mortgage Rate

Did you know your credit score affects your ability to get the best mortgage rate, which could cost you thousands of dollars?  Check your credit report for free to help identify potential issues: https://www.annualcreditreport.com/index.action (the official gov site)

Contact me to see how we can improve your score to get the best rate possible