THERE ARE STILL GOOD RATES AND GREAT LOANS BEING MADE.
These are difficult times like many of us have never known. The mortgage industry has changed, lenders have left the business and lending standards have tightened, which is a good thing. Politicians are trying to put a fix on the situation, oil prices are unstable and one doesn’t even want to think about our domestic economy. This and a whole lot more negative news leaves one in tremendous uncertainty. In spite of all the negative reports there is good news in both the real estate and loan industry. As a consumer, you want to be sure to get the facts and work with a Realtor and Loan officer you can trust.
Here are the facts about loans –
• Many, mostly larger lenders remain and are more aggressively lending now than over the past 18 months.
• 30-year fixed rate loan rates have become very attractive. Rates for the 5-year ARM are even lower – in the low 5% range.
• Credit scores >700 and loan-to-values of 70% or less are receiving premium rates.
The media has done a thorough job covering the demise of the credit markets, but has not provided enough visibility to the success stories. They are out there. If you are looking for a home and need financing, do your homework and don't let the negativity get you down.
