Historically low interest rates top real estate news This Week in Real Estate! For the third time in 2020 the mortgage market has recorded a new historical low for interest rates, according to the Mortgage Bankers Association. Plus, home prices are still appreciating despite the effects of COVID-19 according to CoreLogic’s newly developed Pending Price Index. Click here to read more.
The Federal Housing Finance Agency (FHFA) is suspending foreclosures and evictions for homeowners with a Fannie Mae or Freddie Mac-backed single family mortgage for at least 60 days due to the COVID-19 national emergency.
Fannie Mae, Freddie Mac (the Enterprises) and the Federal Home Loan Banks are taking steps to help people who have been impacted by the coronavirus. Fannie and Freddie are providing payment forbearance for borrowers impacted by the crisis, which will allow a mortgage payment to be suspended for up to 12 months by qualified borrowers.
If your ability to pay your mortgage is impacted, and your loan is owned by Fannie Mae or Freddie Mac, you may be eligible to delay making your monthly mortgage payments for a temporary period, during which:
You won’t incur late fees.
You won’t have delinquencies reported to the credit bureaus.
Foreclosure and other legal proceedings will be suspended
This decision follows the U.S. Housing and Urban Development’s announcement earlier this month to halt foreclosures and evictions for FHA loans on single-family homes for 60 days due to COVID-19.
If you have any concerns about your mortgage contact your mortgage servicer (where you send your monthly mortgage payments).
You can visit the HUD and FHFA websites for more information.
For most of us, our home is the biggest investment we will ever make. When it comes time to sell, treating your home as such will help you get a bigger return on your investment. You want it to look it’s very best when potential buyers come through or view your photos online. First impressions matter, which is where home staging comes in. Home staging emphasizes its strengths and minimizes its weaknesses. This is important for your marketing photos and when potential buyers are trying to visualize a life there.
Here are a few tips to help you get your home ready to sell.
One of the first things you want to do is declutter. Clutter
takes up space and space is what sells. Make your home look bigger and more
desirable by editing down to just the basics.
De-personalizing goes hand-in-hand with decluttering. You want
potential buyers to be able to picture their things in the house. Go
room-to-room and clear off the countertops, desk tops and shelves of all
personal items. This includes your family photos. In this case, less is
Cleaning goes a long way to improve the look and feel of your
investment. A deep clean before you list the home is a good idea, but then set
aside time each week to give the floors and bathrooms a once over.
Spackle and Paint
Now that your home is decluttered, de-personalized and clean, it’s
a good time to spackle and paint. Filling in the holes and applying a fresh
coat of paint will freshen the look of the house. Using lighter colors like
white or beige will make the room feel bigger.
The National Association of REALTORS took a look at the value staging a home brings to the selling process, the return on investment or ROI. Here is what it determined.
83% of buyers’ agents say that staging makes it
easier for buyers to visualize the property as their future home.
44% of buyers’ agents say that staging a home
increases the dollar value offered
53% of sellers’ agents say that staging a home
decreases the amount of time a home spends on the market
95% of agents recommend that sellers declutter
their home before putting it on the market.
When it comes to the return on investment, a staged home will sell faster and for more money than a non-staged home. The results of a recent Coldwell Banker survey show staged homes sell for more than 6% above the asking price. For a $200,000 listing, that’s $12,000 extra in the seller’s pockets.
From Fixer Upper to Fabulous! We’ve all seen the shows on HGTV. It’s trending nationwide and there’s a reason for it. Home buyers get the customized home they want for less and typically have thousands of dollars in built-in equity by the time the deal closes.
In Lane County, 80% of the homes on the market are 15 years or older. With a lack of housing, and a lack of affordable housing in general, renovation loans are a perfect option for buyers who want more bang for their buck.
“Putting families in, with an equity base, is a great place to start for them.”
Did you know there are loans out there that allow home buyers to couple the purchase of their fixer upper with a renovation budget to customize it into their dream home? Well, there are!!! These programs have been around for a long time, they’ve just been under utilized.
What if you could take a house from this…
The first step is to find a real estate broker, like myself, who can help you find a great deal on a home that needs some work, or even A LOT of work. With the current loans available, no job is too BIG, so long as the house appraises. Depending on the scope of the project you could walk away with anywhere from $10k to $100k in built-in equity by the time it’s completed.
Unfortunately, in this market, getting into a starter home can cost you $250k, but what if you found a fixer upper for $150k and put $100k in renovations into it to create your dream home? It’s possible. I have a network of lenders and potential contractors that can turn a fixer upper into your dream house before you ever move in.
And, you have to admit… the before and afters are amazing!
If this is something you’re interested in learning more about give me a ring or drop me an email and we can chat about your options and getting you into your dream home.