Real Estate Information Archive

Well, this week has certainly been a busy time both locally and nationally in the housing market.  We are seeing how volatile the market really is.  First, the Herald Leader reported that permits on new homes in Fayette County and six surrounding counties have dropped over 43 percent from 2007.  This shows how the new construction market has gone into a downward spiral.  Builders are no longer building spec homes but instead are waiting for buyers to purchase the home and then they begin construction.  This may help those trying to sell existing homes since most buyers need to move in a timely manner.

Secondly, as you may have heard the government has taken over Freddie Mac and Fannie Mae.  With the government controlling these entities it has once again instilled confidence in lending.   With this take over mortgage interest rates have dropped significantly.  This should spur some action in the real estate market.  According to many lenders rates should stay down in the 5 to 6 point range for some time.

This is a great time to buy if you have been contemplating it and waiting for the right time.  Please give The Melinda Duncan Team a call at 859-422-2035 if you have any questions.

Should you buy a home in today's climate?  That is the question today.  Real Estate has always been a favorable investment and in most cases is still the way to go for your housing needs.  Today may be the prime time to make that purchase you have been putting off.  Recent news reports show that across the nation there is a total average of 10 months of inventory of available homes for sale.  This number is up from 9.5 months the previous month.

The major cause of this occurrence is the loss of a majority of the sub prime mortgage market.  Buyers lost their loan commitments having them to back out of deals all together or search for alternate means of financing.

The overwhelming inventory of homes is allowing buyers to better negotiate prices and have a far larger choice of homes to pick from.  The sellers today are mostly those people that are forced to sell out of relocation, downsizing or financial.  Buyers are expecting these sellers to have their homes in top condition with fresh paint, new carpet and essentially in move-in condition.

New construction has also been hit by this downturn in the market and are now offering unheard of concessions.  From closing costs to free or reduced price upgrades, it is sure bet that if new construction is what you desire now is the time to check it out.

If you need to buy or sell please call The Melinda Duncan Team and we'll be happy to help!  We can be reached at 859-422-2035.