Happy New Year!

We have made it through another year. 2010 was a challenging year in the mortgage business as well as the real estate business. Those of us who have survived the hard times will be rewarded in 2011. That is what the experts are saying anyway. I believe it to be true. People who were in the game for a quick buck are gone. Mortgage rates are hovering around 5.00% which is still a fabulous rate along with home prices in the area remaining in an affordable range.

Personal Property

I want the drapes, the John Deere tractor, flat screen in the bonus room and all the porch furniture.

Until recently lenders overlooked the personal property included in real estate contracts. Then it was OK to put "at no value" at the end of the big long list of items. Now lenders have decided that you cannot have anything included in the contract other than what is "reasonable and customary" to the market. Well what is reasonable and customary here in the Triangle. Not much! The built in appliances including the refrigerator, blinds and that is about it. As a Realtor you are asked to get involved in every part of a real estate transaction but this has become one part to stay out of. The suggestion is to give the buyer a pen and paper and have them go through the house and write down what they would like, then work it out with the seller. 
Banks what to lend money on REAL ESTATE not on furniture and tractors that can be removed and sold and we have all seen foreclosures missing more than the refrigerator.

Are Rates going lower?

No one has a crystal ball to predict what will happen with the US Treasury Market, Stock Market, or World Events. All of which can effect mortgage rates. One thing we do know for sure, rates are the lowest they have been in 40 years. If you qualify for a loan right now this is the time to get one. Underwriting guidelines are very strict but there is mortgage money available. This is a buyers market and it won't always be that way.