Mortgage Demand for Purchases Continues to Grow - JCL Mortgage
PR Log - Dec 03, 2012 - Daily Real Estate News | Wednesday, November 28, 2012
Loan applications for home purchases rose again last week, marking the fourth straight week of increases, the Mortgage Bankers Association reported Wednesday.
Mortgage applications for home purchases, viewed as a leading indicator of future home sales, rose 2.6 percent last week, the MBA reported. Meanwhile, applications for refinancing, which make up the biggest bulk of MBA’s mortgage application index, fell 1.5 percent for the week.
The drop in refinancing applications prompted the overall mortgage application index--which reflects application demand for refinancing and purchases--to drop 0.9 percent for the week ending Nov. 23.
Meanwhile, fixed-rate mortgage continue to break records. Thirty-year fixed-rate mortgages last week averaged a new record low of 3.53 percent during the week.
Daily Real Estate News reported today that the demand for mortgages rose again making it the 4th straight week of increases. Coupled with record low interest rates makes now the time to act.
Most people have been waiting for the housing market to hit bottom before buying a house which for most people is the biggest purchase they will ever make. There is a strong argument that NOW is the time to pull the trigger. Housing of course is different in all parts of the country and some markets are already in full rebound but the central valley of California is still suffering with short sales and foreclosures.
The problem with waiting for the bottom to hit is that you never know when you are actually there.
Most economists say that you don’t know it’s over for at least 6 months into the recovery. So are we actually there? For a home purchase there are many strong arguments suggesting that NOW is the time to buy:
- Record low interest rates
- If we aren’t at the bottom we are certainly VERY close
- Tax deductable interest payments
- More expensive to rent than to buy
How can anyone argue with the above? The one issue, however, that still remains is tight lending standards. You never will know unless you jump off and get into the water. You will need to get pre-approved to determine if you can qualify for a loan and for how much.
This is a relatively simple and easy process that you should do immediately. Once you get your pre-approval then you should start looking at houses with a “buyers agent”.
That is an agent who specializes in helping people find the perfect home.
My name is Rob Rogers and I can help you with both. Call me at 916.442.6403 or check out our website at www.jclmortgage.com. I look forward to helping you soon.