by ronmonson on February 10, 2012
Whether you’re a first time homebuyer or not, when you consider purchasing a new home, there are many things to consider.
- Can I qualify for a home loan?
- Do I have a down payment?
- How much down payment do I have?
- How long do I expect to be in the home?
- What price range can I comfortably afford?
When determining your price range, it is very important to understand the relationship between the price of the home you would like to purchase and the interest rate you receive for your home loan. With current interest rates at historical lows, a buyer is capable of buying more home now than when interest rates are higher.
For example, if your desired payment is $850 per month and the current 30 year interest rate is 3.75%, the price of home you could purchase will be over $20,000 higher at 3.75%, compared a rate of 4.75%.
The Utah Assoiation of Realtors recently reported that Utah home sales rose for six consecutive months during the second half of 2011, while inventory levels were the lowest since early 2007. Given this news, now is an excellent time to consider purchasing a new home!
by ronmonson on November 23, 2011
No Mortgage Insurance with only a 5% down payment… Is it possible? Yes it is!
If you are purchasing or refinancing, you may want to consider this new option. The interest rate is slightly higher than the option with Mortgage Insurance, but your total monthly payment will be lower. Additionally, the amount of your monthly payment applied to the principal balance of your loan will increase. Therefore, so does your equity!
This program is viable with any down payment amount between 5% and 19%. At 20% down payment or above, no Mortgage Insurance is required.
Don’t hesitate to contact me with any quesitons!
by ronmonson on August 26, 2011
If there is a postive side to the decline of the stock market, it would be the recent decline of mortgage rates. When my parents purchased their first (and only), home in 1954, interest rates were not this low. With 30 year fixed rates ranging from 4.0% – 4.25% and 15 year from 3.25% – 3.5%, the time to consider a home loan could not be more inviting.
First time buyers, with good credit can still finance receive 100% financing through the Utah Housing Corporation.
Homeowner’s with a 30 year loan, at an interest rate above 4.5%, may want to consider refinancing to a 15 year term. A moderate increase in their monthly payment will save them thousands of dollars!
by ronmonson on June 28, 2011
The median price of homes sold in the U.S. in the first three months of this year was 4.6 percent lower than in the first quarter of 2010, according to the
National Association of Realtors. The good new is the lower prices have lead to an increase in the number of homes being sold. Total home sales increased by 8.3 percent compared to the previous quarter.
The map below identifies the four regions of the country and their respective precentage gain or loss…
The West - 4.7 percent loss
The Mid-West – 5.3 percent loss
The South - .6 percent gain
The North-East – 5.0 percent loss
The markets with the highest appreciation are…
| Charlotte-Gastonia-Concord, N.C.-S.C. |
12.2 percent |
| Buffalo-Niagara Falls, N.Y. |
10.8 percent |
| Burlington-South Burlington, Vt. |
10.6 percent |
| Jackson, Miss. |
9.9 percent |
| Florence, S.C. |
9.2 percent |
| Decatur, Ill. |
8.4 percent |
| Canton-Massillon, Ohio |
6.7 percent |
| Columbia, Mo. |
6.7 percent |
| Shreveport-Bossier City, La. |
6.6 percent |
| Cape Coral-Fort Myers, Fla. |
6.3 percent |
The markets with the highest depreciation are…
| Gulfport-Biloxi, Miss. |
-22.8 percent |
| Akron, Ohio |
-21.4 percent |
| Salem, Ore. |
-20.6 percent |
| Dayton, Ohio |
-20.3 percent |
| Cleveland-Elyria-Mentor, Ohio |
-19.7 percent |
| Miami-Fort Lauderdale-Miami Beach, Fla. |
-19.7 percent |
| Ocala, Fla. |
-18.8 percent |
| Allentown-Bethlehem-Easton, Penn.-N.J. |
-18.4 percent |
| Tucson, Ariz. |
-18.0 percent |
| Cumberland, Md.-W.V. |
-17.9 percent |
