About Barnstable County, MA

The Mortgage Interest Rate Lock Advisory for Hyannis MA for November 10, 2009

Here are some of the events affecting mortgage interest rates today in Hyannis, MA.

What the Mortgage Backed Securities Market is Doing Today:

The price of the FNMA 30-Year 4.5% MBS coupon opened at 101.03 this morning - down 14/32 from yesterday's close.

The chart below shows today's price trend of the FNMA 30-Year 4.5% coupon:

The FNMA 30-Year 4.5% MBS coupon is currently trading at 101.28 - up 5/32 from its opening. Remember, on mortgage backed securities (MBSs), as the price goes up, the yield comes down - and mortgage interest rates come down with it. Yesterday was "roll-over" day, so I expect that mortgage interest rates will be about the same in price this morning as compared to yesterday.

Recent Activity in Mortgage Backed Securities:

The chart below shows the price trend of the FNMA 30-Year 4.5% coupon over the past 30 days:

Ima

Economic Reports, News, and Events Affecting Mortgage Interest Rates Today:

• There are no economic reports scheduled for release today.

In other news, the Treasury will auctioning $25 billion in 10-Year Notes today. If the Treasury auctions are met with a strong demand from investors, we should see higher prices for mortgage backed securities and lower mortgage interest rates. However, if we see a lackluster demand, we should see lower prices for mortgage backed securities and higher mortgage interest rates.

Three speakers from the Federal Reserve will today speak about their outlooks on the economy. Dennis Lockhart, president of the Federal Reserve Bank of Atlanta, will speak to the Urban Land Institute conference in Atlanta.

Janet Yellen, president of the Federal Reserve Bank of San Francisco, will speak to the Lambda Alpha International in Phoenix.

Richard Fisher, president of the Federal Reserve Bank of Dallas, will speak to the Austin Headliners Club in Austin.

What's Happening With Mortgage Interest Rates Today:

Moderate to High Volatility. Overall, the single most important day this week will be Friday with the release of the Employment Situation Report. Activity in the stock markets will continue to be volatile which in will have an impact on trading of mortgage backed securities. If you have not yet locked in your mortgage interest rate, please proceed with caution and maintain contact with your mortgage professional.

My Mortgage Interest Rate Lock Advice for Today:

If I were considering financing/refinancing a home, I would...

• Lock if my closing was taking place within the next 7 days
• Float if my closing was taking place between 8 and 30 days
• Float if my closing was taking place between 31 and 45 days
• Float if my closing was taking place between 46 and 60 days

This is only my opinion of what I would do if I were financing a home. It is only an opinion and cannot be guaranteed to be in the best interest of any or all other borrowers.

Get today's mortgage interest rates for your situation in Hyannis, MA.

Preliminary CC&IMLS Statistics for October 2009

Single Family | #Sales | Median | $Value | DOM

• October 2009 | 330 | $336,700 | $154,029,292 | 150
• October 2008 | 296 | $337,250 | $155,716,315 | 157

Condominiums

• October 2009 | 79 | $260,000 | $20,972,155 | 224
• October 2008 | 79 | $259,500 | $21,961,262 | 192

All Sales

• October 2009 | 431 | $184,528,417
• October 2008 | 393 | $183,596,997

The Information shows an uptick in volume!

Should you get a septic inspection?
It is extremely important to have a proper, thorough, inspection of the septic system components if you are buying a home with a septic system. Unfortunately for many home buyers, the typical brief septic inspection tells you very little about the real state of the septic system. In my state, the tank is uncovered and viewed, and the scum level and depth is noted. A diagram is drawn indicating the location of the components. Septic inspections for the sale/purchase of a home is a limited visual inspection to determine the condition of the septic field and function of the sewage disposal system.

In some parts of the country, septic inspections are paid for by the sellers and in others, the buyers have to do their own inspections. As part of the home inspection process, in my part of the country sellers provide the septic certification. My state requires an inspection before a closing can occur. It does not require a functioning system, only a test. In other states, the inspection is optional. When the system is not functioning properly, the parties negotiate a correction acceptable to the parties involved.

The importance of a septic inspection.
If the house has a private septic system it should definitely be inspected by a professional septic contractor. An improperly functioning system can be a messy health hazard. If you are already working with an agent, ask the agent for names of local, dependable home and septic inspection companies, then contact several companies or visit their company websites to learn what services are offered and to ask about rates. Sometimes yu can arrange to have a septic inspection company present on the same day as the home inspection which makes it easy to attend both inspections. If the septic inspection is scheduled on a different day from the home inspection, you may want to be there. In my state, a records kept of past inspections and pumpings, so you can check on the history of the system before the inspection. Also, if you have a private well and a septic system it is be a good idea to have a water test as well as a septic inspection. In my state, most lenders will require a well test anyway.

The septic inspection should be completed and reported to the parties early in the negotiation process. Both the buyer and the lender have an interest in the operation of the existing system. Occasionally a repair or repacement is necessary. Banks usually won't lend unless the system is good or scheduled to be made good. In my state, a system can be repaired upto two years after title changes to a new owner. How the system is corrected and when is left up to the parties involved. My experience is that lenders will "hold back" an amount equal to one and a half times the estimate for the fix. Once it is fixed, the bill is paid from the held back funds and any excess is distributed according to the agreement between the parties.

Home Value Update for Hyannis MA Through September 2009

According to Zillow.com, the listing prices of single family homes have increased 0.2% in the last 3 months, while listing prices of condos increased 2.1%. The current mean listing price of homes for sale on the market in Hyannis, MA, is $385,000. Below is a chart of the trend of listing prices of homes for sale in Hyannis, MA, in the past year through September 2009:

If you're looking for a home or condo to purchase in Hyannis, MA, or in the surrounding area, then try this home search.

You can still buy a home with no money down with the USDA Rural Development Home Loan program. With the FHA Mortgage program, you can purchase a home with as little as 3.5% down. When you're ready to buy a home, find out how much home or condo you can afford to purchase in Hyannis, MA, or in the surrounding area.

Coastal sand dunes are fragile areas along a beach and are vital to the preservation of beaches as they help to limit soil erosion. The blades of grass keep the sand from getting blown away by the wind.

So when using the beaches what can we do to protect the ecosystem so that future generations can enjoy the scenic beauty?

• Avoid walking on the dunes
• Don't ride your bikes or any vehicles on dunes

I don't think this is too much to ask.

Jennifer Fivelsdal- Associate Broker- Keller Williams Realty Team - 845-758-6842- jennifer@jfivehomes.com and www.jfivehomes.com