Unreal Interest Rates Make This a Great Time to Buy!

Interest rates have hit another historic low this past week dipping to levels not seen since the 1950′s!  According to the most recent information coming from Freddie Mack,  the national average for a fixed 30-year mortgage were at 4.57% for the week ending July 10th.

Why are interest rates so low?  “Rates are being pushed down as investors — worried about the health of the economy and the financial turmoil in Europe — funnel money into U.S. Treasury securities, which are closely related to mortgage rates,” according to BankRate.com .

Whatever the reason for the low rates, this is great news for home buyers.  Not only are rates at their lowest in decades, home prices have also fallen to historic lows as well.  While many are still uncertain if we have hit bottom yet in the home price arena, a slight increase in housing prices during April and May may be an indication that prices have at least stabilized somewhat for the time being.

History has proven to us that there is no surefire way to predict what the market will do in the future but one thing is certain.  Now is a great time to buy a house! 

If you or anyone you know is looking to buy a home,  please call me.  There are some great opportunities out there for those ready and willing to move forward.

The Economy is No Excuse to Sit on the Sidelines!

No doubt about it, we are in some pretty tough times economically.  Jobs are disappearing at an alarming rate and home values have been plummeting for the past 18 months or more.  That’s why it is more important now than ever to have a knowledgeable and trusted advisor when it comes to dealing with your biggest asset – your home.

If you’ve been sitting on the sidelines waiting for things to improve, you may be alarmed to realize that for every month that goes by, you could be losing 1% to 2% of your homes’ value.   And while things are starting to get better, if it’s time for you to sell and move on, the biggest advantage you have right now is the federal incentives and interest rates at historic lows.

So  let’s get to it.  As a RE/MAX agent, I have the training, experience and knowledge to answer all your questions regarding the sale or purchase of your home.  RE/MAX Alliance is Colorado’s largest locally owned Real Estate Organization and is the 3^rd largest RE/MAX franchise in the world.  Nobody sells more real estate than RE/MAX.  But when it comes to dealing with your real estate needs, it is important to work with someone you know and trust.

One last thing, 84% of all buyers are now using the internet to search for a home.  RE/MAX has one of the most aggressive web site presences in the business.  You can check out my website at jsarvadi.homesincolorado.com (see the link to the right of this blog).

And remember, if you or someone you know is thinking about buying or selling, give me a call.  I am never too busy for any of  your referrals.

Choosing A Realtor — It’s Personal, Not Just Business

Choosing a realtor is an important first step in any real estate transaction.  And while experience and knowledge are obviously important, the single most important criteria to consider is trust.  

Imagine making a financial decision which will have an impact on you and your family for the  next 30 years without having the advice of someone you trust.  Whether you are in the market to sell or buy, take the time to get to know your realtor even if he is someone you’ve known for a long time.  By that, I mean ask questions about the way he handles his clients.  What are his goals for you and your needs?  Does he take the time to answer all your questions?    Make sure you and your realtor are on the same page as far as the particulars of the property you are selling or buying.  Find out how he plans to communicate with you and how often.  If you don’t hear from your realtor on a regular basis, you may need to revisit the relationship to re-state the parameters and expectations. 

And finally, don’t underestimate your gut feelings — especially if you are moving to a new area, you are unlikely to know the person from past experience.  This is when it is really important to trust your feelings. 

As always, if you or someone you know is thinking about buying or selling their home, give me a call.  You can trust me to provide the very best professional and personal service available.

Avoid Foreclosure Like the Plague!

Foreclosures are becoming pandemic in America. Every day you read another article about the impending deluge of foreclosures coming as more and more adjustable rate mortgages come due for modification. But foreclosure does not need to be a foregone conclusion. In many cases, homeowners have other options that can be applied to their particular situation and with the help of a qualified distressed property expert realtor, the options can be investigated before the situation gets critical.

Keep in mind that banks do not want to own residential property. They are in the business of making money and owning residential property is counterproductive to that business. They do not have the staff or expertise to manage residential properties and what they really want is to have performing loans and mortgages in their portfolios.

So one of the first steps is to let the bank know if and when your financial situation becomes tenuous. The earlier you notify the bank, the better chance you have of negotiating a lower or fixed-rate interest loan. It is in their best interest as well as yours to avoid default.

If, however, something has occurred in your life which prohibits you from maintaining your current payments, or even lowered payments, such as a job loss, illness, business failure, death of a family member or any of a number of similar financial hardship situations, it may be time to sit down with a certified distressed property expert to explore the short sale option.

A short sale occurs when the property owner no longer has the financial capabilities or assets to continue paying or pay off the mortgage on the home they own (and cannot sell the home for the full mortgage amount due to a decrease in property values), and the bank has agreed to negotiate a lower payoff amount to avoid foreclosure.

There are many conditions necessary for a short sale process to be approved. A certified distressed property expert can walk the homeowner through the process to make sure all the conditions are met to successfully complete a short sale.

Here is a chart explaining the differences between a short sale and foreclosure and the impact they have on your credit rating. And remember, there are alternatives to foreclosure.

Western Meadows Newsletter

Hello and welcome to Jim Sarvadi’s blog and the new Western Meadows newsletter.  Coming soon to this site, I will be providing residents of the Western Meadows subdivision in Mead, CO timely information about the happenings in the Western Meadows subdivision and in the town of Mead in general.

So come back and visit again soon and tell your neighbors as well.

And while your here, feel free to visit my links on the right side of the page.  These will take you to my RE/MAX website as well as my Homes in Loveland, CO website as well.

In the meantime, see you in the neighborhood.

Jim