State of the (Los Angeles) Real Estate Market
Los Angeles – the current real estate market 
I was hoping to show two Burbank homes on Saturday; even though they were noted available in the MLS (multiple listing service) I first wanted to speak with the listing agent. AND this is what I learned:
The first home was sold with five offers (in only 4 days); the other home was a short pay off. My client is not interested in a home that might be for sale – which is what a short pay is, so we passed on that one.
Most of my “buyer” clients have decided that they want to buy a home, before interest rates go up. And when rates rise, they can really rise… 10%, 13%, 15% and more – will we see those rates again? I don’t know, the higher interest rates increase the more foreclosures we will see because more homeowners which have loans that are being recast will lose their homes. This might push prices down further, but it won’t matter if increased interest rates make your payment unaffordable. Thinking of buying? Think about it seriously – if you want to buy you might want to complete a purchase before November’s election or at least by the end of the year. If interest rates take off, you may not have the opportunity to be able to afford the monthly payment for years.
Categories: Short Sale, Interest Rates, MLS, A Buyer's Perspective
Are you saying know IS a good time to buy? I am confused
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Only if you have a need/desire to buy a home now & don't want to wait for interest rates to drop (assuming that they will increase) due to the upcoming election, inflation, state of the economy, price of gasoline....
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I agree. I decided to purchase my home before rates increased and before lending guidelines became more strict.
As of June 1st Freddie Mac and Fannie Mae are now charging a whole lot of "junk points" for anyone with a credit score below 740.
There are market condition points, origination points, add-on or caution points and points associated with LTV and Fico for refi transaction.
It is soon going to be very expensive to attain a mortgage for anyone with less than perfect credit.
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Congratulations on the purchase of your home! And, yes, it could be now or never (or years) if you don't act now (in the next 6 months) because of interest rates & qualifying guidelines.
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