In the recent two years how often have you been asked, "So, how's the market?" Depending upon who's doing the asking and who's doing the answering is going to determine the wide range of answers one will hear. It's all in the perspective!
From a seller's perspective, I don't think I would say anything positive about the current real estate market, unless I had some of the following information:
•· The NUMBER of sales thus far in 2011, as compared to the first quarter of 2010, is slightly ahead of last year at this time. That's better than you may think, because at this time last year the Federal Government was offering first time homebuyers a FAT tax incentive of $8000 to purchase a home. Therefore, we saw artificially inflated purchase numbers. Bottom line - the number of sales is significantly higher than it was a year ago!
•· Foreclosure sales are down from first quarter 2010, yet up from fourth quarter. We believe that banks are growing more willing to negotiate short sales, rather than allowing homes to go into foreclosure. This, too, is good news for sellers.
•· Another piece of news is that the median sales price has fallen, going from $157,000 first quarter 2010 to $135,000 first quarter of 2011. The biggest culprit in the falling median price, in my opinion, is that 46.2% of the sales were sales of distressed property. How is that GOOD NEWS? The good news is that if homes are priced right from the start, they are selling much quicker. This is not the market to hold out for the highest price. It is a market where price sells!
From the buyer's perspective, "THE MARKET IS GREAT - BETTER THAN IT HAS BEEN IN DECADES!"
•· Prices are low, which makes monthly payments low. 
•· Distressed property is selling, allowing buyers to purchase homes at below market values. This means that buyers can create their DREAM HOME by connecting to a lender who offers the FHA Streamline Rehab Loan. This loan is super easy. Ask me how to make it happen for your buyers!
•· DOWN PAYMENT ASSISTANCE IS STILL ALIVE AND WELL IN GEORGIA! If cash for down payment is a hurdle, several programs exist to help first time homebuyers in 2011. BETTER THAN THE 2010 TAX CREDIT, these programs actually give money to the buyers! These funds can be used for down payment, payment of closing costs, and / or payment of pre-paid items. Again, ask me how to make it happen!
As an FHA rehab loan specialist, as well as a down payment assistance specialist, I am getting more buyers into more homes with more perks to them. Let's continue to soar past 2010 numbers. It just takes a little out of the box thinking and a small shift in thinking and marketing.
It IS all in the perspective, but I can wrap the current market up in a couple of quick info bytes:
•· This is a price driven market - NOT a marketing driven market.
•· Sell monthly payment!
•· EVERYONE WINS!
Contact Randi today to learn how she can help both buyers and sellers in this crazy economy!
404-338-0717 OR rkrasnoff@americahomekey.com
Who couldn't benefit from down payment assistance when buying a home? Better yet- who wouldn't benefit from down payment assistance especially if there is no RE-payment on the assistance money?**
With more than 23 years of lending experience, I am excited to tell you that AmericaHomeKey is the largest down payment assistance lender in Metro Atlanta....or in the state of Georgia. for that matter.
Down payment assistance is also a great tool for home sellers! You can actually make your home different from other homes for sale in your neighborhood by partnering with me. I can offer a prospective home buyer $5000-$7500 in down payment assistance, if they buy YOUR home, when they work with me to obtain their loan!
Buying a home is both stressful and exciting. Always work with a lender who has control of the process - who has your best interests at heart (perfect timing on this - it IS Valentine's Day today) and who is knowledgeable! These days it is particularly important to use the services of a seasoned loan officer who knows the ins and outs of down payment assistance loan programs. No time for training wheels!
Buyers, the ball is in your court. Houses are krazy affordable, and rates are super low. This makes monthly payments cheaper than rent in most cases! You are in control! So get started NOW -- www.giveyourselfthekey.com
** As long as you own the home on which you get this loan, no repayment is ever required. Repayment is only required if home is refinanced or sold in the future.
Happy Home Shopping -
Randi Krasnoff
Sr. Mortgage Loan Officer
678-738-0516
AmericaHomeKey, Inc.
NMLS # 271111
As a new decade dawns, and the future of mortgage lending still appears to be up in the air, regulators continue to chatter about increasing minimum down payment requirements for potential home buyers. Pretty counterintuitive, wouldn't you say? These same potential homebuyers have been forced to file for unemployment at alarming rates, and they are burning through savings. Because home values have drastically dropped, equity from the sale of an existing home is being squeezed out. When people are re-hired or re-employed, from what sources will funds be available?
Credit requirements are growing ever more stringent - even for government-backed mortgages. Down payment, or lack thereof, was not the reason for the downfall of the mortgage industry; a general lack of ethics was. Appraisers lenders and REALTORS have all been affected by the industry reform. Additionally, with more than 9.4 million people receiving some sort of federal unemployment benefits, having a 20% down payment does not insure that mortgages will be paid.
Let's flip this coin for a moment, though. Say that the 20% down payment law goes into effect?? Would it really be so bad? I say NO. Don't get mad....read on..... Looking at the situation from a different angle, higher conventional down payment requirements would shift buyer focus to the flooded foreclosure market. Both HUD and FannieMae allow home buyers to obtain mortgage financing with as little as $100 down, on the former and with as little as three percent down on the latter. When the foreclosure market is cleaned up, the likely bonus is that values will begin to rise and traditional home sales will make their return.
Agents, please know that you will always be able to earn a living selling real estate! You may have to change the process by which you do it along the way, but if you continue to work smart and to work diligently, the business is out there for you!
Personally, this veteran mortgage lender believes that the fear mongers will neither kill our livelihood nor our industry. The idea of a 20% down payment requirement is preposterous.
# # #
MY DREAM IS THAT ALL CREDIT-WORTHY POTENTIAL HOME BUYERS HAVE THE CHANCE TO OWN A HOME OF THEIR OWN! It has come to my attention, however, that funds are limited or non-existent, for many of these young home owner wannabes. Additionally the parents, who used to have the down payment funds to "gift" to their adult children, due to the economic downturn, are no longer a viable source.
DOWN PAYMENT ASSISTANCE PROGRAMS OFFER HOPE to you, first time buyers. Last year our government offered you a healthy tax credit. This year we offer down payment assistance. Depending upon your situation, you may qualify for either $5000 or $7500 in down payment money!
HOW DOES IT WORK?
Great question! The funds come to you, at the closing table, in the form of real dollars that can be used in several ways:
This money is only required to be re-paid IF you refinance or sell the home. There are NEVER any payments required on the money while you are using it. There is even a special program for firefighters, police, educators and nurses.
Take advantage of this incredible opportunity. If you live in the states of GA or TN, contact me at 404-601-4150 or 866-418-2028, EXT. 327 for a complimentary evaluation of your buy-ability! Many other states also offer similar programs.
Working with a real estate agent? Feel free to have them contact me as well. Not working with a real estate agent? I'm happy to refer you to one who will competently represent you! Credit concerns? We can address that, too.
AmericaHomeKey, Inc. also offers a variety of other loan programs including, but not limited to, FHA, VA, $100 down HUD financing, FHA 203(k) rehab loans. We are a direct lender with in-house underwriting.
If you did, then you know by now that you missed the opportunity to get a 4.5% interest rate! Oh, well. Not a big deal, really. Rates are still hovering around the 5.5% mark....considerably better than when I entered this biz back in the early 80's when rates were at 12%! OH.....and that was an improvement from the late '70's when rates reached a whopping 19%. I have visions of being able to qualify for a stunning 0 bedroom, 1 outhouse storage shed!
There are extraordinary loan options available today. FHA and VA want home buyers to be able to achieve the American Dream.....really! VA still allows 100% financing all the way up to $417,000! WOW! And FHA offers loooooooow down payment options of 3.5% AND allows the seller to contribute up to 6% of closing costs and pre-paids. AND if that's not tantalizing enough, the down payment CAN be a GIFT!
So.......what are you waiting for?? Home prices are incredibly affordable. It IS a BUYER'S MARKET. Take advantage of this incredible time in real estate history to get a piece of this delicious pie....before inflation (a very bitter pie) kicks in.
Another suggestion: Look at monthly payment. Can you afford it - comfortably? If the answer is YES.....do it .....NOW!
Feel free to contact me at rkrasnoff@homusa.com or 828-545-5411. I have added mortgage lending to my professional service menu and lend in 27 states. Call me today to get pre-qualified. We can close your loan in 15 days, offering you the pride of home ownership........as well as a big, fat tax deduction!
First time buyer? Remember, that Uncle Sam wants YOU to have an $8000 tax credit.
Signing off til next time...........Randi
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Licensed loan officer offers more than 23 years of lending experience. Conscientious, devoted and knowledgable. Trust your pay check to a true professional. Trust Randi Krasnoff.
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