Article by What is Short Sale
Blog HomeThe Age Old Real Estate QuestionJanuary 25th, 2011
McGeough Lamacchia cannot stress enough how much of a buyers market it is out there and those considering owning a home in 2011 couldnt be making a better choice. However, all the steals and deals out there in the housing market still dont excuse the age old question all buyers must ask themselves: How much home can I actually afford?
Home buyers need to be honest with themselves (and now more than ever in this economy) to be happy in their home choice and to ensure a long and happy relationship with the Realtor. Paying a mortgage that takes away from their savings, from fun activities and from a budget for food might not be wisest choice. Below are a list of key factors for potential (and current!) homeowners to consider when buying home (or for current homeowners thinking of refinancing a mortgage)
1. Credit ScoreUnfortunately in this economy, credit score is everything despite the fact that the vast majority of individuals suffered hard hits to their credit and/or was revoked credit when many banks went into foreclosure.Building up or maintaining a good to excellent credit score is vital in getting loan.
2. EmploymentBuying a home and entering into a mortgage or a short sale does require some proof of employment or stable income so lenders can see proof that a monthly payment will be able to be made.
3. Location, Location, LocationLiving a city definitely costs more per square foot than living in a suburban or rural area. Consider the location versus the budget and determine what location best fits the budget.
4.Interest RatesUnfortunately interest rates are usually based on credit scores meaning if the credit score is low, the interest rates will be high. However, potential buyers shouldnt fear high interest rates as interest rates are the lowest they have been in the past 30 years. (Home ownership could be in the very near future!)
The best advice for potential homeowners is to research and to really calculate their budget and be honest with themselves. McGeough Lammacchia continues to encourage future homeowners to strongly consider short sales as affordable option to making that home owning dream a reality!
Tags: Affordable homes, buying a home, buying a short sale, housing market, new homes, owning a home, selling a home, short sale, Short sale realtor, short sales realtorPosted in 1 | No Comments »Real Estate Markets: The New Top 5? Markets To WatchJanuary 20th, 2011
2011 has definitely started off on a positive note in regards to the housing market. Rules are changing, laws are reversing, housing markets are looking better and better and now comes the release from Housing Predictor of which housing markets are expected to experience growth in home sales for 2011.
For many homeowners, concerns of whether their current home (or the homes around them) will appreciate or depreciate in value is the biggest concern. For sellers, its how much will they gain (or lose) and for home buyers its show me the deal.
To aid in some of these concerns and questions, real estate market predictions were just released by Housing Predictor which annually compiles the best (and the worst) housing markets by area that are expected to experience inflation (or deflation) within the coming year. 2011, however, is a year that all housing markets across the country are expected to inflate as younger buyers are taking advantage of the incredible home prices from short sales and the older buyers are taking advantage of vacation homes that are selling at record low prices.
The Top 5 new real estate housing markets to watch in 2011 (as predicted by Housing Predictor) are:
1. Portland, Maine2. Kansas City, Kansas3. Tri-Cities, Washington4. Omaha, Nebraska5. Fargo, North Dakota
These markets arent the new hot places to buy but they are expected to experience above average inflation.The factors contributing to these results are not only the location but also the previous trends within these markets. Home sales in these areas are expected to increase dramatically in 2011.
For owners, sellers and potential homeowners within the Northeast area can also rest easy as 2011 is already showing signs of inflation.
Tags: 2011 housing predictions, Foreclosure, housing market, inflation, Information For Home Buyers, information for sellers, real estate, short sale, top 5 housing marketsPosted in 1 | No Comments »New Ruling Could Invalidate Existing ForeclosuresJanuary 10th, 2011
Massachusetts homeowners currently in the process of foreclosure or on the verge of entering into foreclosure could feel relief as the Massachusetts Supreme Judicial Court voted to uphold a ruling involving the process of foreclosures.
This court ruling could invalidate thousands of foreclosures allowing homeowners currently in the process of foreclosure a chance to keep their hometemporarily that is. The reason for these possible invalidations is a direct result of the housing boom and the mortgage processes utilized by lenders in 2009. During this housing boom, mortgages were sold to investors in the form of bonds, resulting in a messy trail of paper that made it unclear as to who actually owned the home.
As the housing market declined, lenders then processed transactions on these now existing foreclosures without actually providing proof that a mortgage was held by the homeowner in question, as existing practices did not require all paperwork to be in place. This process could not only invalidate existing and current foreclosures but actually show proof that homeowners in question might not even be homeowners at all.
This court ruling will no longer allow the above practices to be taken. All foreclosure practices utilized by lenders will now continue to go under in depth moderation.
Homeowners who are in the process of foreclosure might be able to rest a little easier in the comforts of their home, at least for one more night.
Tags: Add new tag, buying a new home, buying a short sale, Foreclosure, foreclosures, home buying tips, home buying tips for buyers, homeowners, informatio for selling a home, Massachusetts homeowners, short sale, short salesPosted in 1 | No Comments »2011 Shows Short Sale PromiseJanuary 3rd, 2011
A new year, a new house?
For many potential home buyers this could be one resolution to quickly check off as completed as 2011 starts with great news for home buyers, potential home buyers and investors involving foreclosures and short sales
Banks contributed heavily to the foreclosure and short sale set backs in 2010. Halting extensions, refusing loans on short sales and freezing transactions on homes in foreclosure were just a few short sale and foreclosure related issues that really worked against potential home buyers and investors.
2011, however, appears to be the year where all of the above and more will soon change in regard to these distressed properties. During 2010, banks that refused loans or halted transactions are now currently holding an inventory of distressed homes . With the welcoming in of 2011, these banks now realize they need to quickly liquidate these inventories by turning them back over to investors. Banks are also approving short sales (on average) within 30 days in effort to move these inventories. Not only will approval times continue to be accelerated but prices will continue to drop. Potential home buyers can expect to see prices on these homes at wholesale investor prices or below.
Interest rates on the other hand are expected to rise in 2011. 2010 was the year where interest rates were at their lowest in effort to entice new buyers, however, with the slight upturn of the housing mar in the last quarter of 2010, interest rates are expected to rise slightly. Potential home owners who are considering buying should take this into consideration, however, shouldnt feel pressured as home prices are still dropping.
Real estate advisers and investors welcome 2011 with confidence and excitement and see the rise in interest rates as a positive testament to the housing market. As the housing market improves within the coming years, prices will dramatically rise. Potential home buyers should seize 2011 and take advantage of what truly is a buyers market.
About the Author
When you are facing possibility of losing your home, you need to trust qualified short sale realtors who can help you avoid home foreclosure. The experienced and knowledgeable short sale real estate agents at McGeough Lamacchia can help provide alternatives to home foreclosure, helping you keep a roof over your head.