April 18th FHA will be increasing their mortgage insurance premiums. All loans that have FHA case numbers that have been assigned prior to April 18th will not be subject to the rate increases. If you are currently approved and are still sitting on the fence make sure to either buy now or speak with your lender to see how the rate increase will effect you. This increase should only affect the amount that you will be qualified for, not whether or not you can qualify for a loan.
The market activity is picking up. I recently listed a home March14th and March 21st had 3 offers. The house sold for full price and was not priced low. Our market is still a battle of the averages, and in a world of average exceptional stands out, and sells quickly. So sellers, make sure your home is show ready. Go ahead and repaint baseboards, walls. Make sure that you are planting those seasonal flowers. Most important price, it right!
Here is a thought to put things in perspective. If I gave you a crisp $1.00 bill and asked you to go to the mall and sell it for $.85, do you think you could sell it, and how quickly? Could you sell it for $.90? Could you sell it for $.95? Do you think you could find someone to exchange it for a crumbled $1.00 bill? The answer is yes to all the questions.
Now take that same example and add a crumpled old tattered $1.00 bill. If you sold both dollar bills for $.90 which one would sell faster? Do you even think that someone may even give you a $.95 for the crisp one?
Now take that same example with a crisp $1.00 bill and go to the same mall and see if you can sell it for $1.10. Now how long would it take to sell? Why would someone give you $1.10 for that dollar when the market tells them that their old dollar is worth the same as your new crisp dollar? By overpricing the dollar you have taken the value away of it being a new crisp dollar.
If this rational works on $1.00, why wouldnâ€™t it hold true for your largest investment? The reality is that it does hold true for homes but sellers donâ€™t want to hear it. Donâ€™t overprice your home.