CNC Mortgage Blog

This is such a great time to buy a property, a house, a townhouse or even a condominium.

The combination of lower prices and lower interest rates makes this time a very good opportunity to buy if you are considering a purchase.

Banks are sitting on foreclosed properties, they want to sell those homes. Homeowners that are not in foreclosure yet but want to get out of their house and their mortgages are asking the banks to accept “short sales”. A short sale is a sale of a property that is sold for less than the mortgage owed on it. Banks are approving this because they do not want to be in the real estate business. A foreclosure typically costs a bank around $60,000.

I have recently seen some eye-opening transactions. A customer paid $ 241,900 for a townhouse that had a mortgage of $307,750. The bank accepted a $65,850 loss just to move the property.

Another townhouse was initially appraised for $ 270,000; the buyers offered $175,000, the bank countered with a price of $180,000.

So….What should you do???? Keep an open mind as to where you want to buy. There are many good cities, good neighborhoods and good school districts.

Remember, you are the best expert on want you want, need and can afford. Spend time looking at what is on the market. Don´t be afraid to ask for a large price reduction, ask the seller to pay for closing costs.

Take the following steps:

· Get pre-approved for a mortgage loan by a mortgage broker

· Work with a realtor

· Do not use a dual agency realtor. This is where the realtor represents both the buyer and the seller. The realtor is also working with the sellers and does not want to upset them.

· Offer less than your realtor suggests, the realtor wants the deal to close – you want to buy and at the best price.

Keep in mind that unsold inventories are high; you have a lot to choose from.

THIS REALLY IS A BUYERS MARKET!!