4 Major Reasons Households in Forbearance Won’t Lose Their Homes to Foreclosure There has been a lot of discussion as to what will happen once the 2.3 million households currently in forbearance no longer have the protection of the program. Some assume there could potentially be millions of foreclosures ready to hit the market. However, there are four reasons that won’t happen. 1. Almost 50% Leave Forbearance Already Caught Up on Payments According to the Mortgage Bankers Association (MBA), data through March 28 show that 48.9% of homeowners who have already left the program were current on their mortgage payments when they exited. 26.6% made their monthly payments during their forbearance period 14.7% brought past due payments current 7.6% paid off their loan in full This doesn’t mean ... 10/13/2022

The Cost of Waiting for Mortgage Rates To Go Down Mortgage rates have increased significantly in recent weeks. And that may mean you have questions about what this means for you if you’re planning to buy a home. Here’s some information that can help you make an informed decision when you set your homebuying plans. The Impact of Rising Mortgage Rates As mortgage rates rise, they impact your purchasing power by raising the cost of buying a home and limiting how much you can comfortably afford. Here’s how it works. Let’s assume you want to buy a $400,000 home (the median-priced home according to the National Association of Realtors is $389,500). If you’re trying to shop at that price point and keep your monthly payment about $2,500-2,600 or below, here’s how your purchasing power can chang... 10/12/2022

Housing affordability has declined dramatically in 2022 due to continued rising home prices and a three-percentage point jump in mortgage rates.  Based on the popularity of Google searches for "housing bust" or "housing bubble", it could be surmised that buyers are anticipating relief, but they are probably not going to see it anytime soon.Home price appreciation is moderating and is down from the 20% level experienced in 2021.  Some of the major industry prognosticators are estimating anywhere from 9% to 14% for 2022.  Interest rates are expected to continue to rise through the end of 2022 and could be at 7%.  Freddie Mac 30-year fixed-rate mortgage was 6.66% on October 6, 2022.Even though homes currently for sale increased to 3.2 months in August 2022, it isn't that much more than it ... 10/12/2022

A common concern for homeowners is that if they sell their home first, they may not be able to find another home to buy.  It is understandable with the low inventories currently available in most markets, but a strong argument can be made to buy your replacement home first.In fact, there are some advisors that would tell you not to sell at all.  Instead, keep the home for a rental investment and refinance it to pull out some cash for the down payment and closing costs for the new one.Many homeowners recognize that their home has been an excellent investment for them.  Their home may have outperformed their retirement and other investments.  In all likelihood, homeowners understand the management and benefits of a single-family home far better than they understand stocks, mutual funds, a... 10/12/2022

Why the Forbearance Program Changed the Housing Market When the pandemic hit in 2020, many experts thought the housing market would crash. They feared job loss and economic uncertainty would lead to a wave of foreclosures similar to when the housing bubble burst over a decade ago. Thankfully, the forbearance program changed that. It provided much-needed relief for homeowners so a foreclosure crisis wouldn’t happen again. Here’s why forbearance worked. Forbearance enabled nearly five million homeowners to get back on their feet in a time when having the security and protection of a home was more important than ever. Those in need were able to work with their banks and lenders to stay in their homes rather than go into foreclosure. Marina Walsh, Vice President of Industry Analysis at the ... 10/12/2022

What Are Experts Saying About the Fall Housing Market? The housing market is rapidly changing from the peak frenzy it saw over the past two years. That means you probably have questions about what your best move is if you’re thinking of buying or selling this fall. To help you make a confident decision, lean on the professionals for insights. Here are a few things experts are saying about the fall housing market. Expert Quotes for Fall Homebuyers A recent article from realtor.com: “This fall, a more moderate pace of home selling, more listings to choose from, and softening price growth will provide some breathing room for buyers searching for a home during what is typically the best time to buy a home.” Michael Lane, VP and General Manager, ShowingTime: “Buyers will continue to see less... 10/11/2022

The primary negotiation in a home purchase takes place when the contract is agreed upon that includes the price, closing and possession.   With inventory down over 19% in the past year and multiple offers being more of the norm than the exception, the first round of negotiations can be challenging.Buyers and sellers alike feel relieved once it has resulted in an agreement, but experienced agents know there is more to come if there are contingencies for financing, inspections, or other things.  The competition for the home may be so tough that the buyer waived their rights for what would be normal contingencies.Financing is one of the most common contingencies in normal situations but when multiple offers are involved, the cash offers tend to have the advantage.  If you don't have the re... 10/10/2022

Saving for a Down Payment? Here’s What You Should Know. As you set out to buy a home, saving for a down payment is likely top of mind. But you may still have questions about the process, including how much to save and where to start. If that sounds like you, your down payment could be more in reach than you originally thought. Here’s why. The 20% Down Payment Myth If you believe you have to put 20% down on a home, you may have based your goal on a common misconception. Freddie Mac explains: “. . . nearly a third of prospective homebuyers think they need a down payment of 20% or more to buy a home. This myth remains one of the largest perceived barriers to achieving homeownership.” Unless it’s specified by your loan type or lender, it’s typically not required to put 20% down. According t... 10/10/2022

In inflationary times, currently the highest in 40 years, the purchasing power of your money diminishes each day; essentially, buying you less.  The biggest threat is to be without capital assets, like a home, that are benefiting from the increase in prices. Your money buys less gasoline now, than it did a year ago, by close to 50%. Beef prices are up about 20% since last year.  Used cars are about 35% more expensive than they were a year ago. Mortgage rates are near 5% after reaching their lowest of 2.65% in January 2021.And then, there is the price of houses.  CoreLogic reports that home prices increased year over year by 20% in February 2022.  Their Home Price Index indicates an annual five percent increase in prices from 2014 to 2021.For many people, the American dream of owning a h... 10/08/2022

Rising interest rates compounded with increasing home prices are causing affordability issues for many buyers.  To keep payments low, you won't have to give an arm, but more buyers are considering getting an ARM, adjustable-rate mortgages.Mortgage rates are near its highest point since 2009.  "While housing affordability and inflationary pressures pose challenges for potential buyers, house price growth will continue but is expected to decelerate in the coming months." said Sam Khater, Freddie Mac's Chief Economist.A $400,000 home with 10% down payment and a 30-year term has the choice of a 5.27% fixed-rate or 3.96% for a 5/1 adjustable-rate mortgage.  The principal and interest payment will be $1,992.40 for the fixed-rate and $1,710.40 for the adjustable rate saving the buyer $281.99 p... 10/07/2022

A Crucial First Step: Mortgage Pre-Approval Some Highlights Mortgage pre-approval means a lender has reviewed your finances and, based on factors like your income, debt, and credit history, determined how much you’re qualified to borrow. Being pre-approved for a loan can give you clarity while planning your homebuying budget, confidence in your ability to secure a loan, and helps sellers know your offer is serious. Connect with a trusted professional to learn more and start your homebuying process today. 10/06/2022

Buyers Are Regaining Some of Their Negotiation Power in Today’s Housing Market If you're thinking about buying a home today, there's welcome news. Even though it’s still a sellers’ market, it’s a more moderate sellers’ market than last year. And the days of feeling like you may need to waive contingencies or pay drastically over asking price to get your offer considered may be coming to a close. Today, you should have less competition and more negotiating power as a buyer. That’s because the intensity of buyer demand and bidding wars is easing this year. So, if bidding wars were the biggest factor that had you sitting on the sidelines, here are two trends that may be just what you need to re-enter the market. 1. The Return of Contingencies Over the last two years, more buyers were willi... 10/06/2022

With multiple offers the norm on many listings these days, the seller relies on their listing agent to help them determine which one to accept.  In some cases, offers subject to FHA or VA mortgages tend to move to the bottom of the list.Some sellers consider all cash offers first and then, conventional offers with at least 20% down payments as the next most likely to close.  It may be because of a common misconception that FHA or VA buyers are poor credit risks and have a higher likelihood of not being approved.  Both FHA and VA do not require as strict credit requirements as conventional loans but if a buyer has been preapproved, that should alleviate that worry.A legitimate concern regarding FHA and VA contracts could be that if the appraisal doesn't come in at the sales price, the bu... 10/06/2022

Two Questions Every Homebuyer Should Ask Themselves Right Now Rising interest rates have begun to slow an overheated housing market as monthly mortgage payments have risen dramatically since the beginning of the year. This is leaving some people who want to purchase a home priced out of the market and others wondering if now is the time to buy one. But this rise in borrowing cost shows no signs of letting up soon. Economic uncertainty and the volatility of the financial markets are causing mortgage rates to rise. George Ratiu, Senior Economist and Manager of Economic Research at realtor.com, says this: “While even two months ago rates above 7% may have seemed unthinkable, at the current pace, we can expect rates to surpass that level in the next three months.” So, is now the right time ... 10/06/2022

The Long-Term Benefit of Homeownership Today’s cooling housing market, the rise in mortgage rates, and mounting economic concerns have some people questioning: should I still buy a home this year? While it’s true this year has unique challenges for homebuyers, it’s important to factor the long-term benefits of homeownership into your decision. Consider this: if you know people who bought a home 5, 10, or even 30 years ago, you’re probably going to have a hard time finding someone who regrets their decision. Why is that? The reason is tied to how you gain equity and wealth as home values grow with time. The National Association of Realtors (NAR) explains: “Home equity gains are built up through price appreciation and by paying off the mortgage through principal payments.” Here’s a look a... 10/05/2022

In today's ultra-competitive real estate market where there is only 1.7 months supply of inventory compared to 6 months in a balanced market, and the average home is getting 4.8 offers per sale, it is more important than ever to have the right person "champion" your cause.In the Middle Ages, it became customary for a person of nobility to appoint a "champion" to fight for them in their stead.  Trial by combat ended in the 15th to 16th centuries but the practice of "fighting" or speaking in one's behalf continues even to this day.Lawyers will take up the cause of their client to win justice for them.  Professional athletes are recruited for their abilities to help their team become victorious.  Craftsmen of every type imaginable are in high demand because of their finished product.Seller... 10/04/2022

If You’re Thinking of Selling Your House This Fall, Hire a Pro Today’s market is at a turning point, making it more essential than ever to work with a real estate professional. Not only will a trusted real estate advisor keep you updated and help you make the best decisions based on current market trends, but they’re also experts in managing the many aspects of selling your house. Here are five key reasons why working with a real estate professional makes sense today. 1. A Professional Follows the Latest Market Trends With higher mortgage rates and moderating buyer demand, conditions are changing and staying on top of the latest market information is crucial when you sell. Working with an expert real estate advisor helps ensure you can stay updated on what’s happening. They know your lo... 10/04/2022

The rapid rise in mortgage rates during 2022 coupled with continued appreciation of home prices have limited the number of buyers in the market which is reflected by the lower number of home sales currently.  "It's a fact that many households are impacted by higher mortgage rates as they no longer earn the qualifying income for the median-priced home." Nadia Evangelou, NAR EconomistOne of the things that agents are doing to help buyers lower their house payments is to suggest an adjustable-rate mortgage.  The rates on these types of loans are tied to indexes that reflect the current market rates and produce less risk for the lender.  The payments adjust on the anniversary date based on the index plus margin named in the note.While many people think that they only adjust upward, they als... 10/03/2022

A 3 Bed/2 Bath Alpine Woods Corner Villa SOLD in Davie!  A 3 Bed/2 Bath Alpine Woods Corner Villa SOLD in Davie! This  home offers the BEST model in Alpine Woods along with a NEW roof and freshly painted exterior. This large open concept, corner villa has lots of upgrades and a HUGE center kitchen that is upgraded with wood cabinetry.  All of the bedrooms are ample size and bathrooms tastefully remodeled. There is also an interior laundry closet and an open atrium for sunbathing, having a campfire and entertaining. The back patio is surrounded by a lush and expansive green area. This friendly, quiet community with cul-de-sac streets has no through traffic.This Davie Community is located across from Bamford Park (sports fields, BIG playground, pickle ball, gym) and is also close to Tree ... 09/27/2022

A Gorgeous 3/2 Shenandoah Lakefront Pool Home FOR SALE in Davie! A Gorgeous 3/2 Shenandoah Lakefront Pool Home FOR SALE in Davie! This is Florida living at it's very finest. Enjoy lake breezes on this huge corner lot with big sparkling pool, large deck and stunning water views. A double door entry leads to a fabulous floor plan that easily flows from one room the next. This one has been meticulously maintained by the original owner. The home has an upgraded kitchen with granite counter tops, the bedrooms have laminate/vinyl flooring, and there is tile throughout the living areas. The outdoor oasis has breathtaking sunrises. Sip your morning coffee on the quaint front patio. The home is located on small cul-de-sac with super friendly neighbors.The top rated Broward County schools that ch... 09/16/2022