Rates Remain Lower

The Slower Housing Market Helps To Keep Mortgage Rates Lower

Freddie Mac today released the results of its Primary Mortgage Market Survey (PMMS) in which the 30-year fixed-rate mortgage (FRM) averaged 6.40 percent with an average 0.5 point for the week ending September 21, 2006, down from last week when it averaged 6.43 percent. Last year at this time, the 30-year FRM averaged 5.80 percent.Full Story: http://realtytimes.com/rtcpages/20060922_rates.htm


Patty Radford
Cape Cod Home Realty
774-836-0062
www.capecodrelo.com
capecodma.blogspot.com

Homeowner Feels Cheated

As increasingly desperate lenders continue to push low payment mortgages with negative amortized loan programs, more homeowners are realizing that these programs are not quite what they seemed when the papers were signed. One reader's story underscores the importance of understanding the mortgage program before signing up.Full Story:

http://realtytimes.com/rtcpages/20060921_cheated.htm

Down Payment And Mortgage

Your First Step Toward Buying a Home

When preparing to buy a home, the first thing many Homebuyers do is look at "homes for sale" ads in newspapers, magazines and listings on the internet. Some potential buyers read "how-to" articles like this one. The next thing you should do - before you call on an ad, before you talk to a Realtor, before you shop for interest rates - is look at your savings. Why? Because determining how much money you have available for down payment and closing costs affects almost every aspect of buying a home - including how you write your purchase offer, the loan programs you qualify for, and shopping for interest rates.

Mortgage Programs

If you only have enough available for a minimum down payment, your choices of loan program will be limited to only a few types of mortgages. If someone is giving you a gift for all or part of the down payment, your options are also limited. If you have enough for the down payment, but need the lender or seller to cover all or part of your closing costs, this further limits your options. If you borrow all or a portion of the down payment from your 401K or retirement plan, different loan programs have different rules on how you qualify. Of course, if you have enough for a large down payment, then you have lots of choices. Your loan choices include such varied programs as conventional fixed rate loans, adjustable rate mortgages, buydowns, VA, FHA, graduated payment mortgages and all the varieties of each.

Shop Rates

A very important reason you need to have at least some idea of your down payment is for shopping interest rates. Some loan programs charge a slightly higher interest rate for minimal down payments. Plus, the interest rates for different loan programs are not the same. For example, conventional, VA, and FHA all offer fixed rate loans. However, the rates vary from one program to another. If you shop lenders by phone, the loan officer will be able to tell which programs fit and quote you rates accordingly. However, if you are shopping on the internet, you have to have some idea of your loan program on your own. Writing Your Offer Another reason you need to have a clue about your down payment is because it affects how you write your offer to purchase a home. Not only are you required to put your down payment information in the offer, but different loan programs have different rules which also affect how you write your offer. This is especially important when dealing with FHA and VA loans. If you are asking the seller to pay all or part of your closing costs, you have to be certain your loan program allows what you are asking. For smaller down payments, lenders allow the seller to pay less closing costs than for larger down payments. Some loan programs will allow a seller to pay certain types of costs, but not others. Finally, your down payment also affects your ability to qualify for a loan. When you make a small down payment, lenders are fairly strict about having you conform to their underwriting guidelines. For larger down payments, they will tend to make allowances or exceptions to the rules. Conclusion As you can see, the down payment affects every choice you make when you buy a home. Although you should look at ads, familiarize yourself with neighborhoods, learn about prices, and read as much as you can - when you get ready to take action - the first thing you should do is figure out how much money you have available for the purchase.


Patty Radford
Cape Cod Home Realty
774-836-0062
www.capecodrelo.com
capecodma.blogspot.com

Deeded Ocean Beach Steps Away

Smell the salty Cape Cod Air from this home located in a fabulous sought after area where homes rarely come on the market. You are really only steps away to the deeded beach with views of beautiful Sandy Neck.

Located north of 6A where you can easly walk to marina, Barnstable Harbor and Barnstable village. The photo is of Millway Marine and Barnstable Harbor just around the corner from this home The area is quiet and tucked away, yet minutes to everything.

The out of state owner just reduced this home to $675,000.



Patty Radford Broker/Realtor
Cape Cod Home Realty
e-mail pattyradford@capecodrelo.com
web site http://www.capecodrelo.com
contact numbers: 888-319-2727 x 2
774-836-0062 (cell)

Motivated Buyers And Sellers Make The Market Move

The inventory has grown substantially from 2 years ago of that there is no doubt. The Buyers are looking on line, going to open houses yet purchases are down. They can't seem to make up their mind while looking for the "best deal". That is why motivation is key.

Additional information found at link below.

http://realtytimes.com/rtcpages/20060915_marketmoves.htm

Mortgages Rates Dip Again

Rates are now back to where they were in the spring. You can find more information and future forecasts from the link below.

http://realtytimes.com/rtcpages/20060915_rates.htm

30 Year Rate Declines Again

Interested in mortgage rates? Here is an update.

Mortgage Activity Up as 30-Year Rates DeclineDemand for home loans rose last week, which the Mortgage Bankers Association attributes in part to lower mortgage rates.

Read more

http://nar.ed10.net/h/VL63W/IIRKY/D5/OH3K1

Cape Cod Massachusetts Real Estate... What's Happening?

Today in the Cape Cod Times the news looked grim regarding the real estate market. Sales were down 33.6% for August and the median price for homes fell 6.7% to $350,000.00. August typically is a quiet month as people are here to enjoy all the Cape has to offer. They may make inquiries, but they come back in the fall to buy.

I have to say inquiries were up dramatically for me in August. I have never had as many inquiries and sign ups. Pent up demand is more than likely the reason.

Buyers or Sellers market? Certainly still a Buyers market. However if the media would back off (yes I do blame them for forecasting through their "crystal ball" for over a year regarding the "bubble burst"in real estate until it became reality... almost like magic!) this would change.

Buyers you may want to take advantage before this all corrects itself. Cape Cod is a great place to live or visit and will always be in demand. Sun, Sea and Surf are really hard to resist.

Real Estate is always a great long term investment. The quick flip may be over for the time being. You just need to evaluate are you in for the long or short term? Enjoy now or wait until someday?

Call me...I'd love to help!

Patty

Patty Radford
Realtor/Broker
Cape Cod Home Realty
774-836-0062
http://www.capecodrelo.com

Selling Your Home? Make A First Good Impression

You really need to show your home in the best light if you want buyers to be interested in your home. The first impression does influence a buyer and can prompt them into making an offer. What the buyer sees is what they consider when they compare with the asking price. A bad first impression will dissuade a potential buyer.

You really shouldn't show your property until it's all fixed up. The buyers will negate due to the first impression and you may not get them back.

You should ask opinions of other people you respect about your home. Real estate agents who see houses everyday can give solid advice on what needs to be done. You may also consider what architects or landscape designers have to say. You REALLY need objective opinions. You may find it hard to separate personal and emotional ties you have for your home from the property itself.

The general fix ups that should consider doing outside and inside are:

*Landscaping - Have you maintained the front yard? The visible areas to the street should be in good condition.

*Clean or Redo the driveway - Is your driveway cluttered with toys, tools, trash etc.? Does it have cracks holes or grease?

*Painting - Consider both the exterior and the interior....are they well taken care of?

*Carpeting - Is it stained? Does the carpet look old and dirty? Consider replacing or cleaning.

You really will see the return on your investment by doing all you are capable of doing prior to selling.

Patty Radford
774-836-0052
http://www.capecodrelo.com

Why Are You Selling?

You really do need to know why you are selling. Knowing will help to set the right plan of action to get what it is that you want. Real Estate sales on Cape Cod (Massachusetts) has been down this year. There are more homes on the market, so competition is greater. Now more than ever you need to focus on the why.

If you are a seller who needs to close a sale as quickly as possible, then you should know that getting the highest price possible is not one of your priorities in a market where there are an abundance of inventory. You could still get a higher price, but it means that the price should not be the only deciding factor. A buyer who can give you a quick closing time which may appeal more to you than a buyer who can offer you more money but the negotiation and closing time drag on. Consider all the variables.

You should always know how low you will go, in terms of selling price, considering EVERYTING...do you need to be out of state by a certain date? How much are your carrying costs if you move out of state and have to buy or rent. Be realistic or you may hurt yourself.
You should always consider all offers seriously and take into consideration the terms of each offer. Know your the bottom line.

Once you know what your limits and reasons are, discuss them with your agent so that they can help you set your goals realistically. Want to go it alone without an agent? You will need to make sure you do the right research on the current market. You need to obtain the proper advice you need in terms of legal issues, etc.

The key is to be realistic and to know what your goals are so that they can be met. You can hope to get a higher price, but you really will only get what the market will bear. Be realistic especially in a down market and you need to sell right away.

Patty Radford
774-836-0062
www.capecodrelo.com

Are You Pre-Qualified or Pre-Approved? What The Difference Is

Before you even start looking at homes you should consider getting pre-qualified. Buyers use to go house shopping first, then when they have found their dream home they would go for a pre-approved. However, that has been proven to be one of the least effective methods in obtaining the home of choice. Most lenders will pre-qualify you for a mortgage over the phone. Based on general questions about your income, debt, assets, and credit history, lenders can estimate how much mortgage you qualify for.

Pre-approval is different. Pre-approval means that you have applied for a mortgage; you have filled out the mortgage application, received your credit report, and verified your employment, assets, etc. When you are pre-approved, you know exactly what the maximum loan amount will be.

A pre-qualified letter is not verified and in essence, does not count for much if you are competing with other buyers who are pre-approved.

When you are pre-approved, you and the seller know exactly how much house you can afford. It gives you credibility as an interested buyer and lets the seller know immediately that you will qualify for a loan to buy their property. In addition to being pre-approved, it's important to be pre-approved with a legitimate lender.

Legitimate lenders include: banks, mortgage bankers, credit unions, savings and loan associations, mortgage brokers, and online lenders. Keep in mind however that each charge different fees, so ask them what their closing fees are. They can differ from a few hundred dollars to a few thousand dollars. Some lenders to avoid: those who lose a form or misplace a file, those who gather information from you in an unorganized manner, those who are not informed about interest rates, points or costs, and those who cannot provide you with the right information. There are also a few out there who throw last minute fees on taht really add up. Asking family, friends or your agent for referrals can help you find the lender that will best serve you.

Patty Radford
Cape Cod Home Realty
774-836-0062
www.capecodrelo.com

Mortgage Rates Continue to Drift Lower

Updated and timely report from Realty Times regarding interest rates.

Freddie Mac today released the results of its Primary Mortgage Market Survey (PMMS) in which the 30-year fixed-rate mortgage (FRM) averaged 6.44 percent with an average 0.4 point for the week ending August 31, 2006, down from last week's average of 6.48 percent. Last year at this time, the 30-year FRM averaged 5.71 percent. This is the lowest the 30-year FRM has been since the week ending April 6, 2006, when it averaged 6.43 percent.Full Story: http://realtytimes.com/rtcpages/20060901_rates.htm

Why You Should Not Make Any Major Credit Card Purchases

So you're getting ready to buy a home, you have gone to a bank or mortgage broker to get pre-qualified..now what? First, if you are on the edge of what you can afford these measures are mandatory. You must not go on a spending spree using credit if you are thinking about buying a home, or in the process of buying a new home. Your mortgage pre-approval is subject to a final evaluation of your financial situation. I have seen couples loose the home they were set on buying because of this. You need to know that every $100 you pay per month on a credit payment could cost your about $10,000 in home eligibility. For example, a car payment of $300/month could mean that you qualify for $30,000 less in a mortgage. Even if you have accumulated enough savings, you should consider not making any large purchases until after closing. The last thing you want is to know that you could have purchased a new home had you curbed the urge to spend. Buying or selling a home on Cape Cod? Call me, I can help!

Patty Radford
774-836-0062
www.capecodrelo.com
capecodma.blogspot.com