How to get your dream house?

Many veteran have been challenged by the sellers market here in San Diego and have not been able to have a seller accept your offer. The seller is always looking at which offer will net them the most money. If you are asking the seller to help with your closing costs, that will put you at a disadvantage over an offer that is not requesting the seller to use some of their equity to pay for your costs.

A better strategy is to ask your loan officer how much of an increase in interest rate you would have for a lender credit to cover your closings costs. Many listing agents that have memories from the past and  are concerned with VA mandatory fees that could occur if the Veteran was charged a l% loan origination fee.

This is very rare in today market. The VA mandatory fees are for borrowers title, escrow, underwriting and processing. On the average this would be around $3,000.Interviewing your agent for experience can be very helpful.

They need to be your  advocate to help educate the listing agent and seller that there would be no extra charges. Many agents believe that a VA appraiser may request more repairs, but the standards for all appraisals are  pretty much the same now.

Many agents and seller feel that a conventional offer with 20% down payment has a higher probably of closing successfully than a VA loan with no down payment. If the pre-approval is done by an experienced loan officer specializing in VA loans they will both have the same probably of closing.

Choosing  the right real estate to help promote your offer and educated all parties involved can make a major difference.

How much is tax rate?

The Board of Governors for the Federal Reserve System voted on March 16, 2017 to raise the discount rate by .25. This the second raise to the discount rate since the financial melt down of 2008.

This raise was seen as necessary as we are getting closer to the target of 2% inflation and an improving labor markets. The increase to mortgage rates was not felt since the financial markets had already expected this raise and it was built into the current pricing.

With new leadership coming to the head of the federal reserve in February, will we will just have to wait and see if any additional raise to the federal discount rate are forecasted in the near future. Any increases to the federal discount rate future could impact interest rates.

How much money do you need to buy a home?

The Board of Governors for the Federal Reserve System voted on March 16,2017 to raise the discount rate by .25.This the second raise to the discount rate since the financial melt down of 2008.

This raise was seen as necessary as we are getting closer to the target of 2% inflation and an improving labor markets. The increase to mortgage rates was not felt since the financial markets had already expected this raise and it was built into the current pricing.

Janet Yellen the head of the Federal reserve has indicated she expects two more rate increase coming in 2017.Va rates are as low as 3.75% for a 30 year loan are still available. These are still excellent rates when you look at the history of interest rates.