Click below to access the current report and chart.
Got to love those Rates!
This is the last month of statistics that we will be comparing to a tax credit month of the previous year. You will recall that last year, in order to get the credit, you had to close by June 30th. I believe they did extend that at the last minute but most did close prior to June 30th. I think it is good news that we exceeded last year’s closing number without any artificial stimulus.
The biggest stimulus right now is the interest rates. I just wrote an offer for an FHA buyer who will be putting 3.5% down and getting a 3.25% rate that is fixed for 5 years and then it can only go up 1% per year and never can be higher than 8.25% and it would take 10 years of high rates to get there. I am amazed to see the amortization table on a loan at that rate. Principle really gets reduced quickly. The first payment is over $300 toward principle. That is exciting!
As always, if you know of anyone who needs or wants to buy or sell, I would love to talk with them. The low interest rate and low inventory situation will not last forever.
