October 2020 Mortgage Market Update
First Time Home Buyers
If you’re a first-time home buyer, what does that really mean to you? Well, it doesn’t mean as much as it used to. Many of the loan programs that we offer for anyone who decides to buy a new primary residence can qualify for the same programs that were originally designed for first-time home buyers. However, there are a few first time home buyer programs that are designated for true first time home buyers. For example, Down Payment Assistance programs, and government loans, like the USDA loan typically also requires you to truly be a first-time home buyer and only allow you to own one home at a time. These are both great options and loan programs that you may want to look into.
Refinance for a Lower Interest Rate
For those of you that don’t know, or maybe haven’t been paying attention to the media, mortgage rates have been at all-time lows all year long. They’re still incredibly low, and it’s been reported that almost half of America could benefit from a refinance right now. There’s more refinancing going on in the financial system than ever before in history. If you know someone that hasn’t looked at refinancing yet, is good time to do it.
The Purchase Market has been on fire, and not just in Redding or Shasta County, but throughout the rest of the country. A few reasons why this has happened, is around February and March was when COVID-19 hit, this is typically one of the hottest buying seasons, we call this the Spring Rush. Unfortunately it was delayed, so this created a lot of pent-up demand. Then most people entered the market in June or July, however what we are seeing now, at the end of September and early October is another rush. This is due to buyers wanting to take advantage of today’s mortgage rates, which are in the twos. Most people see this as a huge advantage, even if they’re buying at a 10% higher price than they would have if purchased last year with mortgage rates being a full percent or more. Buyers are still paying a lower payment than they would have paid on that same house last year. Many people have seen the benefit in this.
Thank you for your Business and Referrals!
If you haven’t looked into refinancing, contact our office to get prequalified and to see if we can help lower your monthly mortgage payment. Thanks again for your continued support and referrals, if you have any questions please call at any time, have a great October!Questions? Contact Chris Today!