Living in Lincoln Park Blog

Are you currently in the process of buying a home or refinancing?  Trying to decide when to lock can be a stressful and difficult decision.  In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible.  Please see my recommendations below.

If closing your Chicago mortgage in:

• 5-7 Days: I recommend FLOATING
• 7-15 Days: I recommend FLOATING
• 15-30 Days: I recommend FLOATING
• 30 or more days: I recommend FLOATING

Click here for more information or to discuss your real estate deal in greater detail

Are you currently in the process of buying a home or refinancing?  Trying to decide when to lock can be a stressful and difficult decision.  In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible.  Please see my recommendations below.

If closing your Chicago mortgage in:

• 5-7 Days: I recommend FLOATING
• 7-15 Days: I recommend FLOATING
• 15-30 Days: I recommend FLOATING
• 30 or more days: I recommend FLOATING

Click here for more information or to discuss your real estate deal in greater detail

Changes are imminent for Chicago homebuyers planning on using a FHA (Federal Housing Administration).  As of September 7^th, the agency is retooling the mortgage insurance requirements in an effort to shore up their capital requirements.  This is a good news-bad news story since the initial costs are dropping while the monthly costs are increasing.

The specifics were released in an August 5^th letter from HUD.  These changes affect the initial Upfront Mortgage Insurance Premium (decreasing from 2.25% to 1%), as well as the Monthly Premium (increasing from .55% to .90%).  To best understand what this means beyond the theoretical, look at the example below.

Assume a $150,000 home purchase:

BEFORE September 7, 2010 

• Upfront Premium (2.25%): $3,256.88
• Monthly payment including mortgage insurance: $793.93

 ON OR AFTER September 7, 2010

• Upfront Premium (1.00%): $1,447.50
• Monthly payment including mortgage insurance: $826.93

Change in upfront cost: $1,809.38

Change in monthly cost: $33.00

If you are currently considering purchasing Chicago real estate using an FHA loan, I would recommend speaking with your realtor and lender as soon as possible to evaluate how these changes affect you.  This is especially important if you are pre-approved, as you may need to operate under different assumptions after The 7^th of September.

Are you currently in the process of buying a home or refinancing?  Trying to decide when to lock can be a stressful and difficult decision.  In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible.  Please see my recommendations below.

If closing your Chicago mortgage in:

• 5-7 Days: I recommend FLOATING
• 7-15 Days: I recommend FLOATING
• 15-30 Days: I recommend FLOATING
• 30 or more days: I recommend FLOATING

Click here for more information or to discuss your real estate deal in greater detail

What prevents someone from taking action is usually fear.  And fear comes from a lack of understanding.

According to the Multiple Listing Service and the Case Schiller Price Index the price of Chicago homes is at 2002 levels.  Even so, many buyers don’t seem to realize that in the current environment of volatile mortgage rates, waiting for prices to go lower can actually work against them.  Buyers should be less concerned with the PRICE of the home and more concerned with getting the best total COST (home price plus expense of financing).

If home prices have fallen to pre-bubble prices, how can the COST today be much less expensive than it was then?  Because in 2002 the annual average mortgage interest rates on a 30 year mortgage was 6.54%.  Today that rate is much lower and therefore the total COST of purchasing your Lincoln Park home today is significantly less.

We are passionate about helping people find their new home.  And we take pride in helping you understand the home buying process.  We want to earn your trust, your respect and your business. Give us a call today to discuss the advantages of getting off the real estate fence!

Are you currently in the process of buying a home or refinancing?  Trying to decide when to lock can be a stressful and difficult decision.  In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible.  Please see my recommendations below.

If closing your Chicago mortgage in:

• 5-7 Days: I recommend LOCKING
• 7-15 Days: I recommend FLOATING, but the probability of securing a better rate is slim.  Much depends on employment numbers that will be released later in the week.
• 15-30 Days: I recommend FLOATING but markets could begin to shift and you should be ready if they do. I would keep vigilant over the next few days.
• 30 or more days: I recommend FLOATING

Click here for more information or to discuss your real estate deal in greater detail

Please note that rates were trending downward at the time of writing this post

It’s an interesting business, helping people to fulfill their dreams of home ownership in Lincoln Park. The number of people becoming real estate agents has been increasing for a number of years and with this increase in agent competition, it becomes even more important for buyers and sellers to have confidence and trust in their agent’s integrity and professionalism. You are entrusting Realtor®s to help you with one of the largest assets you may ever own.

In today’s crazy economy, I’m seeing agents of extremes…those that are willing to “give away” their services in the hopes of making it up in the long run, and those such as myself…viewing this market as an opportunity to re-invent themselves and how they conduct their business. Fast disappearing are the days when agents will spend all their money & time on the curious sellers hoping to get more for their home than the market will bear or buyers who “will know the right house when they see it,” yet haven’t taken the time to truly define what features their perfect home should include.

I am planning on being in the real estate business for the long term. That’s why I am constantly evaluating my business model, refining what works and eliminating what’s not. Are you curious to learn how I will help you sell or buy your next home? Email me and we can set up a time to talk.

Are you currently in the process of buying a home or refinancing?  Trying to decide when to lock can be a stressful and difficult decision.  In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible.  Please see my recommendations below.

If closing your Chicago mortgage in:

• 5-7 Days: I recommend LOCKING
• 7-15 Days: I recommend FLOATING, but the probability of securing a better rate is slim
• 15-30 Days: I recommend FLOATING but markets could begin to shift and you should be ready if they do. I would keep vigilant over the next few days.
• 30 or more days: I recommend FLOATING

Click here for more information or to discuss your real estate deal in greater detail

Are you currently in the process of buying a home or refinancing?  Trying to decide when to lock can be a stressful and difficult decision.  In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible.  Please see my recommendations below.

If closing your Chicago mortgage in:

• 5-7 Days: I recommend LOCKING
• 7-15 Days: I recommend FLOATING, but the probability of securing a better rate is slim
• 15-30 Days: I recommend FLOATING but markets could begin to shift and you should be ready if they do. I would keep vigilant over the next few days.
• 30 or more days: I recommend FLOATING

Click here for more information or to discuss your real estate deal in greater detail

Please note that rates were trending upward at the time of writing this post

Are you currently in the process of buying a home or refinancing?  Trying to decide when to lock can be a stressful and difficult decision.  In my job as a mortgage lender, I watch the markets daily to keep my clients abreast of changes to assist them in securing the best mortgage rate possible.  Please see my recommendations below.

If closing your Chicago mortgage in:

• 5-7 Days: I recommend LOCKING as equities are responding very favorably to economic news out of Europe.
• 7-15 Days: I recommend FLOATING
• 15-30 Days: I recommend FLOATING but markets could begin to shift and you should be ready if they do. I would keep vigilant over the next few days.
• 30 or more days: I recommend FLOATING

Click here for more information or to discuss your real estate deal in greater detail