Mortgage rates are down for a 30-year fixed compared to last month for the Palos Verdes real estate market. These rates are as of April 3, 2009. Also of note, the California Association of Realtors announced "a new program designed to provide peace of mind to first-time buyers who are hesitant to enter he housing market due to concerns about potential job loss, and subsequently being unable to...
"Hope Stirs in Housing Market" was the headline in the LA Times front page on Wednesday. Peter Hong's positive piece states "Home prices in Southern California held steady in February for the first time in nearly a year, figures released Tuesday show, as low prices brought buyers back into the market." On top of that home construction rose nationwide. Sales of Palos Verdes real estate confirm...
March 14, 2009 We have had good news this week with the stock market up. Mortgage interest rates for the Palos Verdes real estate market are up slightly for a jumbo 30-year fixed loan at 6.5% versus 6.25% one month ago. As a comparison, last July the 30-year fixed jumbo was 7.75%. 6.5% is a great rate when one looks at the historical data. Conforming loans (up to...
There were a couple of positive changes for the Palos Verdes real estate market that will be enacted with the approval of the Stimulus Package. The conforming loan limit will be increased to $729,750 for 2009 for our local market. That means you can borrow up to $729,750 at the conforming jumbo rate. Lenders have told me for amounts higher than $729,750, clients have been obtaining a second mortgage...
This has been a very hopeful week for the country with the Inauguration and the new administration in the White House. We did have some negative news regarding Bank of America's fourth quarter results but mortgage rates have been holding steady. 4.75% interest for a 30-year fixed conforming loan is a great rate. 6.250% for a 30-year fixed jumbo loan is almost a full point lower than my last...
Conforming interest rates are the lowest they have been in 4 years! And there has been much talk on both the network news and in print of the Federal Reserve lowering the rate to zero percent. Now, don't get too excited - this does not mean that you and I can get loans for zero percent. This Fed Rate is the rate that banks charge each other. This appears to be in step with the Federal Reserve's...
After hearing from an agent in Northern California that their appraisal guidelines had been changed, I called Robert Riede from the Appraisal Connection (310-768-8700) to get the latest on our appraisals here for Palos Verdes real estate. Robert confirmed that lenders had really tightened their guidelines for appraisals with most lenders requiring at least 2 comps from the last 90 days. Some...
As reported by Bloomberg, the Federal Reserve bought $5 billion of Fannie Mae, Freddie Mac and Federal Home Loan Bank corporate debt under a new program aimed at reducing mortgage costs. Fed Chairman Bernanke finds it "encouraging" that his plan announced last week has already spurred a drop in loan rates. Treasury Secretary Paulson is considering using purchases of home loan securities to force...
The news today from the Federal Housing Finance Agency was that conforming loan limits will remain at $417,000 in the continental United States for 2009. There are higher loan amounts for certain counties. These are known as 'High Cost Areas" and we are one of them. Our conforming loan limits will be $625,000 (In 2008, we enjoyed a higher limit of $729,750). Any loans above $625,500 will be at...
The big news yesterday was that home resales nationally rose more than forecast in September. Sales of existing units rose 5.5% in September to the highest level in a year. Inventory of homes for sale fell 1.6% in September which was the second month in a row to show a decline. The biggest sales gain was in the West, where sales increased 16.8%. What does this mean for owners of Palos Verdes real...