Doreen Zelma
School is back which adds to a little more traffic, but also tends to re-focus people overall as we move out of vacation mood and settle into the daily grind. What am I seeing out there? Interest rates are in the 4′s, which haven’t been this low in decades.
Low interest rates give people more buying power.
For example, a $200,000, 30 year fixed rate loan at 4% will be $954.83 a month, while the same loan at 6% will be $1,199.10. Not only is your monthly payment lower, but your total debt-to-income ratio is lower too. In other words, you may qualify for a higher loan amount, than you normally would at 6%. People are taking advantage of this in 2 ways, by re-financing their existing loans or selling their existing homes and moving up.
Understand, re-financing costs money, so while you can often add some of your closing costs into the new loan — it still costs something because you are adding to the principle. If you don’t see yourself living in the house for 3 years or more, if may not be worth it. If you are saving $100 a month because you received a lower interest rate, but is costs $3,000 to close — are you really saving any money if you move in 2 years?
I am starting to see slightly longer days to close as a result of the lower interest rates. Although purchases tend to take priority with lenders, re-fi’s still add to the amount of work that needs to be done. I am starting see lenders ask for 40 days, when it normally takes 30 to close.
Doreen Zelma
Pride of ownership does not come at a price point. Homes can be found that are either cared for or neglected, whether you spend $150,000 or 1 million. Just because you are willing spend more money, doesn’t guarantee a home in better condition. People have relationships with their homes (not unlike how they relate to other people). If a problem arises, some choose to ignore it, while others attack it head on. There is often a reality check for the owner, when it comes time to sell, when the problems can’t be ignored anymore.
Sellers often realize that what hasn’t been repaired or replaced, will ultimately cost them in the end. Money makes things go away. Owners think they are simply saving money by ignoring foundation problems, roof repair or whatever else may be deficient. In realty though, they are simply differing the payment to the sale. The home is worth less to a buyer and will take longer to sell when systems are in need of repair or replacement.
Doreen Zelma
I have been trying to preview as many properties as possible in the morning, while everyone is still busy at work. Pictures can be deceiving for better or worse, and typically don’t show things like pantries, closets and sometimes even backyards. Previewing properties without clients helps us rule out some things not worth seeing in the [...]
Doreen Zelma
Where will I be Saturday?
1304 Robert E Lee Road
From 12 – 3pm
Calling all investors. One side is leased, you can live in the other, or lease it as well!
This is your opportunity to live a short distance from Barton Springs pool, hike & bike trail & Zilker Park.
From Barton Springs turn on to Robert E Lee. [...]
Doreen Zelma
500 E Mary Street in Travis Heights
Travis Heights area classic bungalow styled home originally built in 1935 offers classic details and updated features. Home has 3 bedrooms, 2 baths and is 1,394 square feet (tax record.) The house sits on a large corner lot with live oaks trees and carport with storage.
Local area attractions include Stacey Pool and the SoCo (S. [...]
School is back which adds to a little more traffic, but also tends to re-focus people overall as we move out of vacation mood and settle into the daily grind. What am I seeing out there? Interest rates are in the 4′s, which haven’t been this low in decades.
