A Home Buyer's Market?
FaithFi: Faith & Finance | Nov 15, 2023
Show Notes
Normally, November through February are the slowest months of the year for home sales, and that means buyers have more bargaining power. Will it happen this year? Dale Vermillion gives us his take on the market today.
Dale Vermillion with us again today. Dale’s the author of Navigating The Mortgage Maze: The Simple Truth About Financing Your Home.CURRENT TRENDS IN INTEREST RATES AND MORTGAGES:
Dale Vermillion notes that interest rates are continuing to rise, but there's hope for decreases in 2024 as predicted by the Mortgage Bankers Association.
Assumable mortgages are becoming somewhat more common due to higher rates. These allow buyers to assume a seller's lower rate, though qualification and legal representation are necessary.
HOME VALUES AND MARKET DYNAMICS:Home values are moderating, with some markets experiencing price drops. A 3% increase in property values is expected overall for the year.
The current market offers less competition for buyers, more acceptance of contingencies, and over 50% of sales include seller concessions.
ADVICE FOR POTENTIAL HOMEBUYERS:
Vermillion advises consulting multiple lenders, preparing income documentation, aiming for a 20% down payment to avoid mortgage insurance, and doing thorough homework before approaching a mortgage.
On today’s program, Rob also answers listener questions:
- As a 63-year-old man who enjoys giving generously, I wonder if my habit of giving, even to the point of self-sacrifice, could be considered an idol.
- My mother is elderly and has set aside some money for her children. I need wisdom on how to wisely use the inheritance she will leave.
- I want to start saving for my children's college education in a way that allows flexibility if they don't go to college. Also, I'm behind on retirement savings and seeking advice on how much to save and invest for a comfortable retirement.
RESOURCES MENTIONED:
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