Average 30-Year Mortgage Drops Below 4%

 

30 year loan plans to hit their lowest numbers since June of last year (2013). Yields from Treasury Bonds marked new lows. Now it is much more affordable to borrow the funds necessary to buy a home.

 

• Freddie Mac says nationwide average for 30 year loan is 3.97%, down from 4.12 while 15 year loans are at 3.18% from 3.3%
  
• 10 year notes now trade at 2.1% which is down from 2.34%. The bond yields are rising, because of the falling prices on bonds.
  
• Treasury yields have dropped, and the federal reserve may force the Federal Reserve to delay interest rate increases.
  
• Down Jones Industrial Average is down 460 points and all three US Stock indexes were in negatives for the year. Fear Index rose sharply.
  
• Mortgage rates are down, despite the Federal Reserve's ending of monthly bond purchases. This is to keep long term borrowing rates low. Shorter term loan rates will be kept at near zero levels until inflation shows signs of rising.
  
• Freddie Mac surveys lenders across the US to calculate average mortgage rates. This average DOES NOT include extra fees, which most borrowers pay to get lower rates. A POINT IS 1% OF THE LOAN AMOUNT.
  
• Average fee for a 30 and 15 year mortgage is .5 points. For a one-year ARM, the average rate fell to 2.38 percent from 2.42 percent. The fee held at 0.4 point.

Huntington By the Campus, USF Area, Tampa, FL

 

Click Here to View Property Video!!!

Move-in ready unit available in a quiet neighborhood in the USF area. This spacious two bedrooms, one bathroom villa features an updated kitchen, ceramic flooring throughout, and ceiling fans. As you enter through the doors, you are greeted by the clean, white kitchen with a smooth counter-top and breakfast bar that overlooks the vaulted ceiling dining room and living room combination. The split bedroom floor plan is separated by the bathroom and a hallway closet.

 

The backyard is a stunning and well landscaped feature of this villa. Not only does it include a spacious screened lanai, but an open deck and space for more entertaining. This home will make an excellent owner occupant resident or investment unit.

 

For more information, call 813-419-7009 or email info@gloriawalters.com.

International Buyers Finding Homes in US

Dr. Jerry D Parrish, a chief economist, wrote this article which chiefly outlines the purchases of property made in Florida by international buyers. Florida has been, is, and will continue to be in the future an attractive place for the real estate industry. The article stipulates that the buyers are coming from mainly Western Europe and Britain, with a sizable number also coming from South/ Latin America and Canada.

Chinese buyers are also present. Sales have been gradually increasing since 2008. International buyers are important to Florida's economy, and a forecast of around 60,000 purchases of property in Florida made by international buyers is made by Parrish. Parrish conjectures that the strong property rights in Florida are spurring more and more international buyers, as well as the strong tourism industry.

WestChase Home For Sale in Maintenance Free Enclave!!!

 

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Lowest Priced Per SqFt Home in the WestChase Community. The sun is shining and it's nice and breezy, The Enclave in Westchase has a home for sale and the moving is easy! This contemporary home located within the Westchase area and features an attractive, open air feel with wooden floors. This well-lit home has two stories, with 4 bedrooms and 2.5 bathrooms. Immediately upon walking in through the large front door, you are greeted by a bright and open living area that is flanked by an equally open and spacious kitchen- complete with an island counter! With white cabinets, the kitchen has a very clean and contemporary feel as you walk outside through the side door.

Once you venture upstairs, you will be greeted by the loft area that separates the master from the remaining three bedrooms. The master bedroom and master bathroom are also noticeable, as they both are spacious and luxuriant. Complete with a separate bath and shower, the bathroom caters to all wants and needs and is easily manageable. The bedroom also features a walk in closet! When you journey back downstairs, a two car garage is also present.

This home caters to all your needs, with schools in close proximity and playgrounds also just a short walk away. Vibrant, yet homey and contemporary and modern, while also classic-- This home is eager for new homeowners!

The Enclave at WestChase, Tampa, FL

FOR SALE in WESTCHASE COMMUNITY, TAMPA!!!
4 Bedrooms
2.5 Bathrooms
2 Stories
2,253 sqft
Loft Style
Spacious Kitchen
Laminate Wood, Carpet, Ceramic Tile Flooring
Split Bedroom Floorplan
Washer/Dryer within unit
2 car attached garage

Homeowner Flood Insurance Affordability Act

The United States Senate has just passed "The Homeowner Flood Insurance Affordability Act" by a vote of 72-22 (both US Senator Nelson and Senator Rubio voted in favor of the bill. This is the bill the US House passed on March 4. This is incredible news for Florida REALTORS® and property owners. The bill will now be sent directly to President Obama for his signature!

* Reinstates Grandfathering - This bill permanently repeals Section 207 of the Biggert-Waters Act, meaning that grandfathering is reinstated. All post-FIRM properties built to code at the time of construction will have protection from rate spikes due to new mapping - for example, if you built to +2 Base Flood Elevation, you stay at +2, regardless of new maps. Also importantly, the grandfathering stays with the property, not the policy.

* Caps Annual Rate Increases at 18% - This bill decreases FEMA's authority to raise premiums. The bill prevents FEMA from increasing premiums within a single property class beyond a 15 percent average a year, with an individual cap of eighteen percent a year. Pre Biggert-Waters, the class average cap was 10%. Currently (Post Biggert-Waters), the class average cap is 20%. The bill also requires a 5% minimum annual increase on pre-FIRM primary residence policies that are not at full risk. The updated legislation also states that FEMA shall strive to minimize the number of policies with premium increases that exceed one percent of the total coverage of the policy (e.g., 1% of $250,000 = $2,500).

* Refunds policyholders who purchased pre-FIRM homes after Biggert-Waters (7/6/12) and were subsequently charged higher rates

* Permanently Removes the Sales Trigger - This bill removes the policy sales trigger, which allows a purchaser to take advantage of a phase in. The new purchaser is treated the same as the current property owner.

* Allows for Annual Surcharges - This legislation applies an annual surcharge of $25 for primary residences and $250 for second homes and businesses, until subsidized policies reach full risk rates. All revenue from these assessments would be placed in the NFIP reserve fund, which was established to ensure funds are available for meeting the expected future obligations of the NFIP.

* Funds the Affordability Study and Mandates Completion - This legislation funds the affordability study required by Biggert-Waters and mandates its completion in two years.

* Includes the Home Improvement Threshold - This bill returns the "substantial improvement threshold" (i.e. renovations and remodeling) to the historic 50% of a structure's fair market value level. Under Biggert-Waters, premium increases are triggered when the renovation investments meet 30% of the home's value.

* Additional provisions: This legislation includes several other provisions including preserving the basement exception, allowing for payments to be made in monthly installments, and reimbursing policy holders for successful map appeals.

Investors get back into the real estate game

Many housing experts predicted a slowdown in investor activity this year, but investors don’t appear to be fading from the market – they appear to simply be shifting their focus to different types of properties as distressed inventories dry up.

“There has been a clear rebound in investor participation in the housing market,” says Thomas Popik, research director for the Campbell/Inside Mortgage Finance HousingPulse Tracking Survey, which showed strong activity among investors in December 2013. “The statistics for the housing market, particularly the non-distressed segment, remain generally strong, but investors still are increasing their activity.”

Investors are increasingly targeting non-distressed properties. In November, investors accounted for 13.2 percent of purchases of non-distressed properties based on a three-month moving average. That’s up from 10.5 percent in August, marking a seven-month market share high for investors, according to the HousingPulse survey.

Investors started pulling away from the market in March 2013 as home prices soared, with their overall market share dropping to 16 percent, according to a survey by the National Association of Realtors®. But by December, they bounced back, ending the year strong with a 21 percent market share – about the same level at which investors’ presence peaked during the foreclosure crisis.

Source: “Investors Ended 2013 on a Roll,” RISMedia (Feb. 17, 2014)