Mortgage & Financial News

Come here to read about what is going on in the world of Mortgages and what financial information is affecting the mortgage markets.

Found 329 blog entries about Mortgage & Financial News.

National Housing Starts Historical Chart from Macrotends.net

 

If you’ve ever attended an economic presentation, you know there’s a chance it can be pretty dry. I’m confident that if my economics classes in college were taught with as much enthusiasm as Dr. Elliot Eisenberg, a.k.a. the “Bowtie Economist” brings to his presentations, I probably would have paid a lot more attention. He may have even inspired me to pursue economics!  

Dr. Eisenberg gave a presentation last week during REALTOR® Day at the Capitol, a two-day event when over 200 Colorado REALTORS® met at the State Capitol to discuss a variety of state and federal policy issues that impact the real estate industry. It was also an opportunity for REALTORS® to share ideas from the

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More than 40 percent of homeowners in Boulder County are equity rich – that is the amount of loans secured by the property is 50 percent or less of the property’s estimated market value, according to ATTOM Data Solutions Q3 2018 U.S. Home Equity & Underwater Report.

Cities in Boulder County notch the upper end of the equity rich measure. Here are the statistics for Boulder County. Percentages within cities vary slightly by zip code:

Boulder – 55% equity rich

Louisville – 46% equity rich

Lafayette – 42% equity rich

Longmont – 41% equity rich

Statewide, Colorado homeowners aren’t far behind with more than 32 percent of Colorado properties equity rich.

Across the U.S., nearly 14.5 million properties are equity rich. That’s 25.7

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Boulder County home sales declined for December, but overall 2018 sales held somewhat steady with a slight decrease.

“December was not a fabulous month for home sales, particularly for attached dwellings,” says Ken Hotard, senior vice president of public affairs for the Boulder Area Realtor® Association.

Sales of condominiums and townhomes in the Boulder-area dropped 42.9 percent in December compared to November – 72 units sold vs. 126. For the year, attached dwelling sales improved .02 percent with 1,525 units sold vs. 1,522.

Single-family home sales dropped 2.6 percent with 302 sales vs. 310 for December compared to November. Year-over-year, single-family home sales dropped 2.3 percent – 4,533 sales vs. 4,640.

Hotard points out the total

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Boulder’s economic horizon will keep its rosy glow, though economists anticipate the pace will slow in the face of growing local and national challenges.

Nationally recognized experts presented a mixed economic message to a record-setting crowd of civic, political and business leaders gathered for the 12th annual Boulder Economic Forecast. Organized by the Boulder Chamber and Boulder Economic Council, the event was held January 17 at the Embassy Suites Hotel. RE/MAX of Boulder is among the event’s sponsors.

The goal is to arm community leaders with up-to-date statistics and trends that inform decisions and support local economic vitality, according to John Tayer, CEO and President of the Boulder Chamber.  

And community leaders will want to

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As prices of homes have increased steadily, it has been more difficult for first-time home buyers to enter the real estate market. Often first-time home buyers will turn to relatives to help with a down payment or co-signing on the loan. However, all parties involved need to go in with their eyes wide open before agreeing to this type of arrangement. To do this, first meet with a qualified mortgage loan officer to determine what a buyer might qualify on their own and then what they would qualify for with a co-signer. Next, it would be wise for both parties to meet will a financial planner to make sure they are on the right track with their decisions. The financial planner can help determine if the overall transaction is realistic. Often the primary

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When interest rates on mortgage loans climbed to historic levels in the 1980s, it was very hard for home buyers to sign on to a 16% mortgage loan. Even though it was pretty tough times, the real estate industry had tools to keep the market moving.

If a mortgage holder was a Colorado savings and loan, the interest rate on a qualifying loan assumption could only be increased by 1%. When interest rates were 16%, a seller might have a loan at 10% and it would only go to 11%. It seemed like such a deal then! 

FHA and VA mortgage loan assumptions were a savior of the ‘80s. Unless the seller wanted replacement of eligibility (in VA cases) or replacement of liability (in FHA cases), a buyer could assume the loan with no rate increase and no qualifying.

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The holiday season is upon us and you may be thinking about finding a special or unique gift your family member or loved one could use for years to come. In my previous article entitled, “Part 1 – Holiday Gift Ideas for First-Time Home Buyers,” I discussed gifting down payment funds or First-Time Homebuyer Savings Account (FHSA) contributions to first-time buyers to help purchase their new home. In this article, I will discuss another way you can help a home buyer. 

Even though the interest rates on home mortgages are historically very attractive, they are rising. As interest rates rise, a homebuyer’s purchasing power is reduced. An exceptional gift idea is helping your relative or loved one with an interest rate or mortgage buydown. Buying down an

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Saving for a down payment on a home is the most difficult step in the process of buying a home for 25% of first-time buyers, according to the National Association of REALTORS (NAR) 2017 Profile of Home Buyers and Sellers. Of those buyers, 55% said student loan debt delayed them in saving for a home. Now couple those issues with the high price of real estate in the Boulder area, and it makes it very difficult for first-time buyers to get started. In fact, according to the same profile from NAR, the typical first-time buyer might delay a purchase for three years to save for a down payment. In an appreciating market such as in the Boulder area, purchasing the first home gets harder as time goes on. 

NAR also says that 25% of first-time buyers depended

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In Colorado, real estate brokers are not licensed to practice law and/or give legal advice. Yet licensed brokers can prepare contracts to buy and sell houses as a daily course of business. Colorado brokers are allowed to render services to real estate clients to a greater degree than in many states. This allowance dates back to the infamous (at least in the Colorado real estate industry) Conway-Bogue case. The bottom line of the decision was that brokers were allowed to work with contracts in real estate transactions without an attorney only if they filled in the blanks of standard and approved forms.

Part of the issue back then, however, was that there were no defined standard and approved forms. The Conway-Bogue Case dates back to 1957, but it

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Stress is starting to run a little high with interest rates on the rise. Here’s a brief history lesson first!  Over my 40-year history as a Realtor, I’ve seen a wide range of mortgage interest rates. In the early ‘80s, rates seemed like they were going up every day, and in October 1981, the Freddie Mac rate soared to 18.44%! I can remember thinking, if only the rates would just go back down to 12% all would be right with the world. Rates did gradually get better, even with many ups and downs, but the valley was in October 2012 at the end of the recession when it dropped to a record low of 3.36%. You know the old saying, “What goes up must come down!”. In the world of interest rates, there’s also another adage: “What goes down must come up!”. From that

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