Mortgage Market Week in Review – September 27, 2012

If you are thinking of buying a home or refinancing your mortgage to take advantage of today’s amazingly low rates, make sure to check my blog every week end for my weekly Mortgage Market Review courtesy of Terra Mortgage. And don’t hesitate to give me a call with any question or for a referral to Marin’s top mortgage professionals.

 

MORTGAGE MARKET WEEK IN REVIEW

This morning U.S. Treasuries continued their climb upward as International investors worried about Spain’s ability to follow through on their budget.  The US Ten-year Treasury note rose 9/32 with yields easing to 1.63%.  In comparison Spain’s borrowing cost on their 10-year today breached the 6% mark and probably will move to 7-8% by next week (ouch!).  Unfortunately their pain is our gain and rates continue to improve.

 

CURRENT INTEREST RATES | SEPTEMBER 28, 2012

CONFORMING RATES
($200,000 – $417,000) 0 POINTS
• 30 Year Fixed: 3.250% (3.35% APR)
• 5/1 ARM: 2.500% (2.59% APR)
JUMBO RATES
($625,501 – $2,000,000) 0 POINTS
• 30 Year Fixed: 4.000% (4.09% APR)
• 5/1 ARM: 2.875% (2.96% APR)
CONFORMING (HIGH-BALANCE) RATES
($417,001 – $625,500 cap by county) 0 POINTS
• 30 Year Fixed: 3.625% (3.70% APR)
• 5/1 ARM: 2.875% (2.96% APR)
RATE TRENDS
Rates are BETTER compared to last week.
Rates are BETTER compared to last month.
Rates are DOWN compared to one year ago

INDUSTRY NEWS

Case Shiller Home Price Index Rises Again Feeding Optimism of a Genuine Housing Rebound
 
U.S. home prices inched higher yet again in July, extending gains to what is now three straight months of increases across all major markets, fueling a sense of optimism that perhaps this time around a recovery in housing will finally stick.
 
The latest S&P/Case-Shiller Home Price Indices report showed that on a month-to-month basis, the 10-City and the 20-City Composites rose 1.5 percent and 1.6 percent, respectively, from June levels, and all 20 cities surveyed saw positive monthly changes.

The upward momentum added to a growing perception that the housing market, which was at the epicenter of the 2008 credit crisis, might be finding a bottom.
 
As recently as last spring, home values were still dropping to new lows nationally.  But home prices have been rebounding since then and now remain about 30 percent off their 2006 peak levels.  Many see a recovery in housing as key for any sustainable recovery in the broad U.S. economy.

 

************************************************************************************************

This article was reprinted courtesy of Gina Kemsley – Copyright © 2012 Gina Kemsley, Terra Mortgage Banking, All rights reserved.

_______________________________________________________________________________________

About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.

 

 

 

 

 


National Sales of Existing Homes Jump To 2-Year High

Existing Home Sales By Price Tier, August 2012

Home sales prices are higher nationwide and sales volume has moved to a 2-year high.

According to the National Association of REALTORS®, 4.82 million “existing homes” sold on a seasonally-adjusted, annualized basis in August, representing a near 8 percent improvement from the month prior and a nine percent jump from August 2011.

An existing home is a home which has been previously occupied.

IT’S ALL ABOUT THE PRICE

Home sales were unevenly split across price tiers, with more than half of all homes selling for less than $250,000. This suggests that the first-time home buyers and real estate investors continue to be active in today’s market as a foundation for growth is built.

According to the Existing Home Sales data :

  • First-time buyers accounted for 31% of all home sales
  • Real estate investors accounted for 18% of all home sales
  • Other, repeat buyers accounted for 51% of all home sales

DISTRESSED HOME SALES ARE DECLINING

Also noteworthy is that “distressed homes” accounted for the smallest percentage of overall home sales since the real estate trade group started tracking such data.

In August, homes in various stages of foreclosures accounted for 12% of all sales and sold at an average discount of 19 percent below market value. Short sale homes accounted for 10% of all sales and sold at an average discount of 13 percent below market value.

NATIONAL HOUSING SUPPLY IS SHRINKING

Of all the data in the August Existing Home Sales report, though, perhaps most relevant to today’s buyers is the shrinking national housing supply.

At August’s end, there were 2.47 million homes listed for sale nationwide, a three percent increase from the month prior. However, because the pool of available home buyers is increasing more rapidly than the number of homes for sale, housing supplies fell 0.3 months to 6.1 months.

This means that at the current pace of sales, the entire housing supply would be sold by March 2013.

Mortgage rates and home prices remain low today.  However, affordability may be affected by the increased demand and resulting upward pressure on prices and a potential increase in mortgage rates.  

WHAT ABOUT THE MARIN COUNTY MARKET?

Is affordability threatened in Marin County as well?  The Marin County market is also experiencing a recovery with an increase in sales, a growing pool of buyers and a reduced number of distressed properties.  But every community in Marin County walks to its own drum beat.  The percentag of listings in contract from town to town ranges from a high of 64.29 percent in Corte Madera to a low of 14.29 percent in Ross.  Depending on the price range, the town, the neighborhood, the reality of the market is different.

Please read my August Marin County Market Report for more details and feel free to call me with any questions.

*******************************************

 Are you curious about your home or what’s going on with sales in your neighborhood?
Please give me a call (415-505-4789) or email me (Sylvie@YourPieceofMarin.com) and I’ll be happy to give you feedback.

Thinking of listing your home?
I would like to believe I am one of the best home marketing solutions in Marin County – with my strong negotiation skills, in-house staging capabilities, and formidable internet and social media presence.  Call me to find out about the innovative ways I use to market and sell Marin County homes. 

Thinking of buying a Marin County home?

Put your search on FAST TRACK! I will help you find the perfect home and will make the process as fun and stress free as possible. Email me to receive my unique buyer’s ebook with a wealth of tips and information to help you understand and get prepared for every step of your home’s purchase.  And feel free to contact me with any questions at 415-505-4789 or Sylvie@YourPieceofMarin.com

 

Corinthian Island, Belvedere, CA

 __________________________________________________________________________________

About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.

 


Marin County Market Report – August 2012

Eichler Home in San Rafael, www.YourPieceofMarin.com by Sylvie ZolezziSchool has officially begun which means the “Fall Season” is here.  To me, fall means days are growing shorter, the leaves are just beginning to change color, I am starting to crave hot soup and heartier fare and looking forward to curling up by the fire with a good book .

With respect to Real Estate, the “Fall Season” means the countdown to the Holiday Season and the rainy weather.  It’s also when we see a flurry of listings hit the market and when some of the best opportunities arise.  Just in the past two weeks 150 new listings have come on the market in Marin County!

However, inventory remains low and the market is abuzz with motivated buyers competing for a limited number of properties.  Multiple offers continue to be very common: my last three listings sold with multiple offers and at prices over the list price.  With the right agent advising you, you can be a winner in a bidding war and buy a home at a price which is still a great value.

If you are prepared to move quickly, this may prove to be the very best time to buy.  Sellers aren’t typically “testing” the market this time of year as the days are extremely limited.  Furthermore, many sellers are waiting for prices to move up, hence our low inventory.  Only sellers who accept the reality of today’s lower prices are coming to market.  In short, they are REAL sellers, so take advantage of their desire to sell and of the incredibly low interest rates we continue to enjoy.  If you have a home to sell, you’ll be rewarded with a quick market response and in some cases multiple offers from today’s savvy, price conscious buyers as long as they feel you are aligned with today’s new market reality.

THE BAY AREA MARKET

In a September 14 article, DataQuick, a real estate news service based in San Diego, reported that the Bay Area posted its strongest home sales for the month of August in six years. DataQuick credits low mortgage interest rates, an improving economy and increasing demand in mid-to move-up market segments.

The article points out that the median price paid for all new and resale houses and condos sold in the Bay Area last month was $410,000. That was down 2.6 percent from $421,000 in July, and up 10.8 percent from $370,000 in August 2011.  It is important to note that roughly half the year-over-year increase in the median can be attributed to a shift in market mix.

The median’s low point of the current real estate cycle was $290,000 in March 2009. The peak was $665,000 in June/July 2007.  Around half of the median’s peak-to-trough drop was the result of a decline in home values, while the other half was the result of a shift in the sales mix.

The increased availability and affordability of jumbo loans is fueling sales in the higher price ranges.  Mortgages above the old conforming limit of $417,000 accounted for 38.7 percent of last month’s purchase lending, and were up from 32.9 percent a year ago.  Jumbo usage dropped to as low as 17.1 percent in January 2009.  Before the credit crunch struck in August 2007, jumbos accounted for nearly 60 percent of the Bay Area purchase loan market.

“Most economists agree that the housing market is off bottom. But there’s a big gap between the market being ‘off bottom’ and being normal, which it’s not. The single biggest bottleneck is still the dysfunctional mortgage lending market…” said John Walsh, DataQuick president.

TRENDS AT A GLANCE – MARIN COUNTY MARKET

Sales remained brisk thanks to low prices and historically low interest rates.  The number of homes sold in August went up to 298 in August 2012 from 233 in August 2011 (a 27.9 percent increase) and from 176 in August 2012 (a 40 percent increase.)

  • Inventory remains low at 611 active listings in August 2012, down 36.5 percent from 962 in August 2011 and 58.24 percent from 1,463 in August 2010).
  • With more buyers competing for fewer homes, the percentage of homes in contract went up to 47 percent from 22 percent in August 2011 and 12.78 percent in August 2010!  To put these numbers in perspective, let’s remember that 25 percent in contract is generally considered to reflect a balanced market.
  • Affordability remains very high.  For now, prices have remained more or less flat despite the increasing number of multiple offers and the decreasing number of distressed sales.

CITY BY CITY REPORT

The city by city report shows Corte Madera leading the pack with 64.29 percent of active listings in contract, and Novato a close second at 60.56 percent.  Greenbrae and Larkspur continue to be in high demand as well and have 58.33 percent and 51.22 percent of their inventory in contract, respectively.

In terms of year to date sales for 2012 compared to 2011, most cities are displaying a significant improvement, with the exception of Corte Madera and Greenbrae.  Their sales and percentage in contract were higher on average than those of other cities last year, and they have remained at approximately the same level this year.

SINGLE FAMILY HOMES – PERCENTAGE IN CONTRACT BY PRICE POINT

The lower end of the market, i.e. listings under $1 million, continues to represent a large percentage of the listings at 61.24 percent of all active listings, and to garner the lion share of the activity in our Marin market with 57.4 percent of these listings in contract.

As prices get higher, the demand decreases.  However the $1 million to $2 million and $2 million to $3 million price ranges continue to improve and are both at about 30 percent, edging into a seller’s market.

******************************

Are you curious about your home or what’s going on with sales in your neighborhood?
Please give me a call (415-505-4789) or email me (Sylvie@YourPieceofMarin.com) and I’ll be happy to give you feedback.

Thinking of listing your home?
I would like to believe I am one of the best home marketing solutions in Marin County – with my strong negotiation skills, in-house staging capabilities, and formidable internet and social media presence.  Call me to find out about the innovative ways I use to market and sell Marin County homes.

Thinking of buying a Marin County home?

Put your search on FAST TRACK! I will help you find the perfect home and will make the process as fun and stress free as possible. Email me to receive my unique buyer’s ebook with a wealth of tips and information to help you understand and get prepared for every step of your home’s purchase.  And feel free to contact me with any questions at 415-505-4789 or Sylvie@YourPieceofMarin.com.

___________________________________________________________________________________

Sylvie Zolezzi - www.YourPieceofMarin.com About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.


Mortgage Market Week in Review – September 21, 2012

MORTGAGE MARKET WEEK IN REVIEW

Yesterday we learned that the Conference Board’s index of leading economic indicators fell 0.1% in August. The weak news led to agency Mortgage Backed Securities (interest rates) setting more records. But remember, ever since last week’s Fed announcement things have changed…  From now on regardless of good or bad news the Fed is purchasing $40B of Mortgage Backed Securities per month, which means we’ll probably continue to see low rates for some time.

CURRENT INTEREST RATES | SEPTEMBER 21, 2012

CONFORMING RATES
($200,000 – $417,000) 0 POINTS
• 30 Year Fixed: 3.375% (3.47% APR)
• 5/1 ARM: 2.500% (2.59% APR)
JUMBO RATES
($625,501 – $2,000,000) 0 POINTS
• 30 Year Fixed: 4.125% (4.21% APR)
• 5/1 ARM: 3.000% (3.08% APR)
CONFORMING (HIGH-BALANCE) RATES
($417,001 – $625,500 cap by county) 0 POINTS
• 30 Year Fixed: 3.625% (3.70% APR)
• 5/1 ARM: 3.000% (3.08% APR)
RATE TRENDS
Rates are BETTER compared to last week.
Rates are BETTER compared to last month.
Rates are DOWN compared to one year ago

INDUSTRY NEWS

Understanding Your Homeowners Insurance Policy
 
As part of your home loan application, you will need to provide a copy of your current homeowner’s insurance policy.  Homeowners insurance (sometimes called hazard insurance), protects both you and the lender in the event of damage to your home. If you are purchasing a home and do not presently work with an insurance representative, I can refer names of reputable insurance representatives I have worked with in the past.
 
There are several types of homeowners insurance so be sure you understand the differences and choose the type that best fits your needs. Here is a breakdown of insurance types to help you better understand your options.

There are three basic types of policies that homeowners with a mortgage typically purchase.
 
HO2 — Broad Form: This policy will cover the home itself as well as other structures on the property such as a detached garage or even fencing against 15 specific “perils.” This coverage also provides Homeowners personal liability coverage, which means if someone falls and is injured on your property and then sues you, your insurance company will pay a settlement if you lose the suit and may also defend you in court. The perils or events that cause damage to your home, that are generally covered under HO2 are:
 
·         Fire or lightning
·         Windstorm or hail
·         Vandalism or malicious mischief
·         Theft
·         Damage from vehicles and aircraft
·         Riot or civil commotion
·         Glass breakage
·         Smoke
·         Volcanic eruption
·         Falling objects
·         Weight of snow, ice or sleet
·         Accidental discharge or overflow of water or stream
·         Sudden and accidental tearing apart, cracking, burning, or bulging
·         Freezing
·         Sudden and accidental damage from artificially generated electrical current
 
Note that floods and earthquake damage are not covered. These require separate policies in areas where these events are likely to occur.
 
HO3 — Special Form: This is the most widely used type of homeowners insurance for single-family homes. It covers your dwelling and all detached structures against loss or damage from any peril except for those specifically listed as excluded from coverage. It is important to know what perils are specifically included and to discuss with your agent whether you will need additional insurance coverage, also called a “rider.” Some perils that are generally excluded from coverage under an HO3 policy include neglect, intentional loss, smog, theft from a dwelling under construction [separate insurance is required for these structures], vermin and rodents and typical wear and tear or deterioration.
 
HO5 — Premier Homeowner Policy: This policy covers everything in the HO3 plus additional perils. In fact, the HO5 covers your dwelling and detached structures and all the contents of your home, provides liability coverage and only excludes perils specifically listed in the policy: if damage or loss occurs because of a peril that is not listed, then that loss or damage is covered. This is sometimes called an “open peril” policy since everything is covered that is not specifically excluded.
 
When discussing your homeowners insurance with your agent, be sure to determine whether your policy covers the actual cash value of your home or the full replacement cost. And as always, if you need a referral to an experienced professional in our area I am happy to direct you to a valued colleague. Please call me with any questions!

*************************************************************************************************

This article was reprinted courtesy of Gina Kemsley – Copyright © 2012 Gina Kemsley, Terra Mortgage Banking, All rights reserved.

Gina Kemsley – Senior Vice President – Loan Consultant, Terra Mortgage Banking

View of Richardson Bay from Sausalito

_______________________________________________________________________________

About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.

 

 

 


Homebuilder Confidence Continues to Make New Highs

HMI September 2010 - 2012While we do not have much new construction in Marin County, the home builder confidence index is key because it is very representative of the overall health of the real estate market and consumer confidence nationally.

HOME BUILDER CONFIDENCE TOPS 40

As reported by the National Association of Home Builders, the Housing Market Index, a measure of builder confidence, rose to a reading of 40 in September — its highest mark since June 2006, just before the housing bubble burst.

The index is now higher through five straight months and 11 of the last 12.

According to a NewsDay Article about Homebuilder Confidence, builders also reported seeing the best sales level since July 2006, while turnout by prospective buyers returned to levels not seen since May 2006.

U.S. HOUSING MARKET ON TRACK FOR SUSTAINABLE RECOVERY

Sales of newly built homes are running ahead of last year and sales of previously occupied homes also are up from a year ago.  Home prices are increasing more consistently, in part because the supply of homes has shrunk and foreclosures have eased.

Mortgage rates remain near record lows, beckoning potential buyers with good credit.

The positive trends have helped bolster optimism that the U.S. housing market may finally be on track for a sustainable recovery.

WHAT DOES IT MEAN FOR HOME BUYERS?

Today’s new construction market favors builders and builders know it.

For home buyers in general, the survey may be signaling higher new home prices ahead; when builders are more confident in housing, they may be less likely to make concessions in price, and to “sweeten” deals with free upgrades and/or subsidized mortgage rates.

The Housing Market Index is published monthly, based on responses to a 3-question survey that the NAHB sends to its members. All three survey components showed an increase from August with buyer foot traffic rating at its highest point in more than 6 years. This is especially noteworthy because as the number of prospective buyers increases, so does competition for homes for sale.

For any buyer planning to buy new construction later this year or into early 2013, it might be wise to consider moving up your time frame.  Homes may be for sale, but they won’t likely be as inexpensive as they are today.

THINKING OF BUYING A MARIN COUNTY HOME?

Whether you want to buy new construction or a resale home in Marin County, I will help you put your search on FAST TRACK and find the perfect home.  I guarantee I will make the process as fun and stress free as possible. Email me to receive my unique buyer’s ebook with a wealth of tips and information to help you understand and get prepared for every step of your home’s purchase.  And feel free to contact me with any questions at 415-505-4789 or Sylvie@YourPieceofMarin.com

 ___________________________________________________________________________________

About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.


Mortgage Market Week in Review – September 14, 2012

MORTGAGE MARKET WEEK IN REVIEW

After months of waiting for the Fed to announce a 3rd round of Economic Stimulus, yesterday we received this historic announcement and more. The Fed basically agreed to pump 40 Billion Dollars a month into the economy until they saw signs of a recovery.  This is unprecedented (more below). 

 

CURRENT INTEREST RATES | SEPTEMBER 14, 2012

CONFORMING RATES
($200,000 – $417,000) 0 POINTS
• 30 Year Fixed: 3.375% (3.47% APR)
• 5/1 ARM: 2.625% (2.72% APR)
JUMBO RATES
($625,501 – $2,000,000) 0 POINTS
• 30 Year Fixed: 4.250% (4.34% APR)
• 5/1 ARM: 3.000% (3.08% APR)
CONFORMING (HIGH-BALANCE) RATES
($417,001 – $625,500 cap by county) 0 POINTS
• 30 Year Fixed: 3.625% (3.70% APR)
• 5/1 ARM: 3.000% (3.08% APR)
RATE TRENDS
Rates are BETTER compared to last week.
Rates are FLAT compared to last month.
Rates are DOWN compared to one year ago

 

INDUSTRY NEWS

The Fed Announced QE3 So Why Haven’t Rates Moved Down?
 
Following the Fed’s announcement the Mortgage Backed Security market improved dramatically yesterday, but investors did not go along. There are too many capacity issues at the moment. Few lenders can handle the volume they are receiving, and would instead rather increase margins than follow the agency mortgage-backed security market higher (and send rates lower).
 
Additionally, there is also rising rate pressure in the marketplace. Last week Fannie Mae and Freddie Mac announced an increase to their respective loan guarantee fees. These “G-fees” will rise by 10 basis points which will have the net effect of raising mortgage loan costs by 0.5 discount points per loan, on average.  (Click here to read my recent article on “G-fees.”)
 
The net result is that while the market welcomed the Fed’s announcement, rather than send rates lower, it is keeping rates in the same relative range.  And the good news is, that range is still historically low by any measure.
 
At best, however, they will boost job growth indirectly. The asset purchases are aimed at encouraging lending by lowering interest rates, particularly for mortgages; more refinancings and home sales would be a powerful boost to the economy. Lower interest rates could also persuade investors to move their money into stocks, lifting the stock market, and from there, consumer spending.

**********************************************************************************************

Thinking of listing your home?
I would like to believe I am one of the best home marketing solutions in Marin County – with my strong negotiation skills, in-house staging capabilities, and formidable internet and social media presence.  Call me to find out about the innovative ways I market and sell Marin County homes. 

Thinking of buying a Marin County home?

Take advantage of these AMAZING interest rates to buy your Marin dream home right now.  Put your search on FAST TRACK! I will help you find the perfect home and will make the process as fun and stress free as possible. Email me to receive my unique buyer’s ebook with a wealth of tips and information to help you understand and get prepared for every step of your home’s purchase.  And feel free to contact me with any questions at 415-505-4789 or Sylvie@YourPieceofMarin.com

*************************************************************************************************

This article was reprinted courtesy of Gina Kemsley – Copyright © 2012 Gina Kemsley, Terra Mortgage Banking, All rights reserved.

Gina Kemsley – Senior Vice President – Loan Consultant, Terra Mortgage Banking

Sailing on the Bay, Tiburon, CA

___________________________________________________________________________

About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.

 

 


Fed Launches Third Round of Quantitative Easing (QE3)

The Federal Open Market Committee voted to leave the Fed Funds Rate unchanged within its current target range of 0.000-0.250 percent Thursday. For the eighth consecutive meeting, the vote was nearly unanimous.

Just one FOMC member, Richmond Federal Reserve President Jeffrey Lacker, dissented in the 9-1 vote.

The Fed Funds Rate has been near zero percent since December 2008.

In its press release, the Federal Reserve noted that the U.S. economy has been expanding “at a moderate pace” in recent months, led by growth in household spending. However, “strains in global financial markets” remain a significant threat to growth in the near-term, a remark made in reference to the Eurozone and its sovereign debt and recession issues.

The Fed’s statement also included the following economic observations :

  1. Growth in employment has been slow with unemployment elevated
  2. Inflation has been subdued, despite rising gas and oil prices
  3. Business spending on equipment and structures has slowed

In addition, the Fed addressed the housing market, stating that there have been signs of improvement, “albeit from a depressed level.”

The biggest news to come out of the FOMC meeting, though, was the launch of the Fed’s third round of quantitative easing (QE3).

QE3 is a program by which the Federal Reserve will purchase $40 billion in mortgage-backed bonds monthly, with no defined “end date” for the program. So long as the Fed believes that the market needs support, it will keep QE3 in place.

In the near-term, QE3 is good for rate shoppers and home buyers. With the Fed in line to buy $40 billion in mortgage bonds each month, demand for bonds is expected to remain strong which, all things equal, leads mortgage rates lower.

We’re seeing this already today. Mortgage pricing is improving post-FOMC, with rates nearing their lowest levels of the week.

The Fed also used its meeting to announce that it intends to hold the Fed Funds Rate near its target range of 0.000-0.250 percent until mid-2015, at least. At its last meeting, the Fed has marked an end-date of “late-2014”.

The FOMC’s next scheduled meeting is a two-day event, October 23-24, 2012.

 

Are you curious about your home or what’s going on with sales in your neighborhood?
Please give me a call (415-505-4789) or email me (Sylvie@YourPieceofMarin.com) and I’ll be happy to give you feedback.

Thinking of listing your home?
I would like to believe I am one of the best home marketing solutions in Marin County – with my strong negotiation skills, in-house staging capabilities, and formidable internet and social media presence.  Call me to find out about the innovative ways I market and sell Marin County homes.

Thinking of buying a Marin County home?

Put your search on FAST TRACK! I will help you find the perfect home and will make the process as fun and stress free as possible. Email me to receive my unique buyer’s ebook with a wealth of tips and information to help you understand and get prepared for every step of your home’s purchase.  And feel free to contact me with any questions at 415-505-4789 or Sylvie@YourPieceofMarin.com.

_______________________________________________________________________________________

About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.

 


Simple Tips To Keep Your FICO Score High

FICO recipeFor today’s home buyers and refinancing households, the value of “good credit” has never been higher.

Mortgage approvals hinge on your FICO score, as does your final mortgage pricing.

If you’re shopping for a home , therefore, or contemplating a refinance, be aware of how everyday credit behaviors can affect your FICO. Even small events can have a big impact.

Here are some common-sense steps to help improve your credit score.

First, keep a “cushion” on your credit cards.

30 percent of your credit score is linked to “Amount Owed” and a big part of Amount Owed is a raw calculation of (1) What you owe in dollar terms, against (2) How much credit you have at your disposal. The credit bureaus want to see at least 70% of your credit “available.” 

If you can keep your cards at least 70% available, your credit scores should improve.

For example, if all of your credit cards give you access to a combined $50,000 and you are using $10,000 of that available credit, you have 80% of your credit available to you and this is “good.”

Raise your balances to $30,000 and this is “bad.”

Second, don’t make major purchases on credit prior to making a mortgage application, or just after having been approved. This includes opening a store charge card to save 10 percent or more on a washer/dryer set, for example; or for any other appliance or furniture piece.

The reasons why are two-fold. One, store charge cards are often opened with a limit matching your initial charge, rendering them 100% utilized. This is bad for a FICO, as discussed above.  And, two, opening a new charge cards has a negative FICO impact anyway.

Charge cards are associated with high default rates. 

Third, make all of your monthly payments on time — even the ones in dispute. You may not want to pay that $80 wireless phone bill, for example; but remember that Payment History accounts for 35% of your credit score. Even one late payment — or payment in collection — and your credit score can drop.

It’s often less expensive to pay a bill in dispute than to be relegated to a higher mortgage rate. The payment is dispute can or cannot be remedied today. The payment on that mortgage rate lasts for 30 years.

 

Are you curious about your home or what’s going on with sales in your neighborhood?
Please give me a call (415-505-4789) or email me (Sylvie@YourPieceofMarin.com) and I’ll be happy to give you feedback.

Thinking of listing your home?
I would like to believe I am one of the best home marketing solutions in Marin County – with my strong negotiation skills, in-house staging capabilities, and formidable internet and social media presence.  Call me to find out about the innovative ways I market and sell Marin County homes. 

Thinking of buying a Marin County home?

Put your search on FAST TRACK! I will help you find the perfect home and will make the process as fun and stress free as possible. Email me to receive my unique buyer’s ebook with a wealth of tips and information to help you understand and get prepared for every step of your home’s purchase.  And feel free to contact me with any questions at 415-505-4789 or Sylvie@YourPieceofMarin.com

Larkspur lagoon

 ____________________________________________________________________________________

About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.


Mortgage Market Week in Review – September 7, 2012

MORTGAGE WEEK IN REVIEW

Yesterday the ECB announced the details of a new European Bond-repurchase program. This caused the bond market to sell-off and interest rates moved up.  Today is an entirely different story… This morning the Labor Department issued the August Employment Report.  The market was expecting at least 125,000 new jobs created but the report showed only 96,000 jobs created.  This number is well below the 139,000 monthly average this year. This in itself is below the 200,000 jobs a month the economy will need to create for at least 2 years to make any dent in the unemployment rate.  In response to this news, mortgage-backed securities are soaring this morning and rates have improved.

CURRENT INTEREST RATES | SEPTEMBER 7, 2012

CONFORMING RATES
($200,000 – $417,000) 0 POINTS
• 30 Year Fixed: 3.375% (3.47% APR)
• 5/1 ARM: 2.375% (2.47% APR)
JUMBO RATES
($625,501 – $2,000,000) 0 POINTS
• 30 Year Fixed: 4.125% (4.21% APR)
• 5/1 ARM: 3.000% (3.08% APR)
CONFORMING (HIGH-BALANCE) RATES
($417,001 – $625,500 cap by county) 0 POINTS
• 30 Year Fixed: 3.625% (3.70% APR)
• 5/1 ARM: 3.000% (3.08% APR)
RATE TRENDS
Rates are FLAT compared to last week.
Rates are FLAT compared to last month.
Rates are DOWN compared to one year ago

 

INDUSTRY NEWS

Mortgage Rates Will Rise On New Loan Fees
 
Earlier this week, Fannie Mae and Freddie Mac announced an increase to their respective loan guarantee fees. These “G-fees” will rise by 10 basis points which will have the net effect of raising mortgage loan costs by 0.5 discount points per loan, on average.
 
In other words, independent of market movement up-or-down, mortgages are about to become more costly. Therefore, if you’re out shopping for a loan and wondering when it’s the right time to lock, the time to lock is now. Why? Because even if base pricing improves for mortgage rates, the new, higher G-fees will wipe out those gains and more.

For more details about these fees, please click on this link.

Are you curious about your home or what’s going on with sales in your neighborhood?
Please give me a call (415-505-4789) or email me (Sylvie@YourPieceofMarin.com) and I’ll be happy to give you feedback.

Thinking of listing your home?
I would like to believe I am one of the best home marketing solutions in Marin County – with my strong negotiation skills, in-house staging capabilities, and formidable internet and social media presence.  Call me to find out about the innovative ways I market and sell Marin County homes. 

Thinking of buying your own Piece of Marin?

Put your search on FAST TRACK! I will help you find the perfect home and will make the process as fun and stress free as possible. Email me to receive my unique buyer’s ebook with a wealth of tips and information to help you understand and get prepared for every step of your home’s purchase.  And feel free to contact me with any questions at 415-505-4789 or Sylvie@YourPieceofMarin.com

View of Mt. Tam from my new listing at 55 Corte Morada, Greenbrae, CA

****************************************************************************************************

This article was reprinted courtesy of Gina Kemsley – Copyright © 2012 Gina Kemsley, Terra Mortgage Banking, All rights reserved.

Gina Kemsley – Senior Vice President – Loan Consultant, Terra Mortgage Banking

___________________________________________________________________________

About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.


Coming Next Week : New, Mandatory Loan Fees For All Conforming Mortgages

Beginning as soon as next week, new mandatory mortgage fees will push mortgage rates higher nationwide.  Fannie Mae and Freddie Mac are raising their respective “guarantee fees” or “g-fees.”

Guarantee fees are fees that mortgage-backed securities providers charge to lenders for mortgage-related services including the bundling, selling and reporting of mortgage-backed bonds. 

Guarantee fees are also used to insure providers against credit-related losses.

As announced by the Federal Housing Finance Agency, effective for all conforming loans delivered to Fannie Mae or Freddie Mac, beginning November 1, 2012, guarantee fees will be raised by an average of 10 basis points per loan.

Conforming mortgages already average close to 30 basis points in guarantee fee per loan.

This is the second time this year that the FHFA has raised guarantee fees, with the most recent increase translating into an approximate 50-basis point worsening in consumer mortgage pricing.   Today’s home buyers and refinancing households will soon pay higher loan closing costs as a result of this new increase.

To use a real-life example, Freddie Mac reported that the average 30-year fixed rate mortgage was 3.55% nationwide this week for borrowers willing to pay an accompanying 0.7 discount points. 

Once the new g-fee is implemented, the discount points change : 

  • Prior to guarantee fee increase : 3.55% with 0.7 discount points
  • Post guarantee fee increase : 3.55% with 1.2 discount points

Post-increase, in other words, an identical Freddie Mac loan requires an extra half-point to get to closing, or $500 in additional closing costs per $100,000 borrowed.

These fees will soon appear on rate sheets, if they haven’t already.

Lenders know that it can take up to 60 days to lock a loan, approve it, fund it, then package it for delivery.  Loans locked today, therefore, will likely be delivered to Fannie Mae or Freddie Mac after the November 1, 2012 deadline.  As a result, mortgage pricing will soon include the effects of the g-fees.

Thinking of buying a Marin County home?

Put your search on FAST TRACK! I will help you find the perfect home and will make the process as fun and stress free as possible. Email me to receive my unique buyer’s ebook with a wealth of tips and information to help you understand and get prepared for every step of your home’s purchase.  And feel free to contact me with any questions at 415-505-4789 or Sylvie@YourPieceofMarin.com

 

———————————————————————————————————————————————–

About the author:  The above Real Estate information on Marin County Real Estate was provided by Sylvie Zolezzi.  I can be reached via email at Sylvie@YourPieceOfMarin.com or by phone/text at 415.505.4789.  I am an award winning Realtor specializing in luxury residential real estate in beautiful Marin County, just north of the Golden Gate Bridge.

My goal is to provide you with the best home buying or selling experience possible by combining my business and financial experience with meticulous attention to detail and a warm, personable and caring approach to meeting your needs.  I have an excellent track record as a successful, results-oriented negotiator and effective communicator.  My analytical skills and understanding of current market conditions, along with my ability to utilize a broad range of cutting edge technological and innovative marketing resources, make me an invaluable real estate resource.

I am a long term Marin County resident and home owner.  I strongly believe our quality of life is extraordinary and practically unmatched. I love our community, quaint towns and vast open space and never tire of their breathtaking beauty.  I know the neighborhoods, the schools, the amenities; I know where you want to live.  I know and love Marin County!

I specialize in Luxury Homes in the following towns in Marin County:  Sausalito, Tiburon, Belvedere, Mill Valley, Corte Madera, Larkspur, Greenbrae, Kentfield,  Ross, San Anselmo, San Rafael, Fairfax, and Novato.