15-Year Fixed Rate Mortgage

Between October and December 2011, the conventional conforming 15-year fixed rate mortgage averaged 3.30% with about 1 discount point, the lowest 15-year fixed rate mortgage rate in the product’s recorded history. 25% of refinances were from 30-year fixed rates to 15-year fixed rates in the Fall of 2011.

The 15-year fixed rate mortgage is very similar to the 30-year fixed rate, except in the term of the note. You’re compressing the same debt into 15 years instead of 30 years, so naturally, the monthly payment will be more, usually about 50% more. The savings are gained in the amount of interest paid over the 15 years instead of 30 years.

Sample Scenario of two mortgages:

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You can use this handy mortgage calculator to see the difference in the two mortgage products. It also has a rent vs. buy calculator.

Contact us for a list of recommended Lenders.

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The Highland  Group
Chris & Karen Highland *        301-831-9947
Turning Point Real Estate “ 301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119

Builder Confidence

I haven’t done a link roundup of real estate related news in a while. It seems wer are headed into a season of lots of changes in the Real Estate Industry. Here’s the latest news Frederick home buyers and sellers might be interested in:

• Builder Confidence levels are up for the 5th straight month. Builder Confidence has doubled since September.
• The Mortgage Interest Deduction is STILL at risk… The Obama Budget to cut MID
• Governor O’Malley’s Budget proposal cuts percentage of MID
• Unbury Me, a very useful debt payoff calculator
• 50 Cent postage stamps
• Senetor Young introduces early voting bill

Have a great weekend!

_____________________________________________________________

The Highland  Group
Chris & Karen Highland *        301-831-9947
Turning Point Real Estate “ 301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119

for January 2012 provided by the Highland Group,

Here are the highlights:

Notes: There are currently 861, historically low.  This makes roughly a 5-6 month inventory, a balanced market.     20% of sales were cash deals, reflecting a lot of investors in the market. Although the average and median prices were 9 and 10% lower than last year at this time, they were only 1% below last month, flat really. The number of sales last month was low, but the number of pending sales foretells a healthy next couple of months.

*Other notable sales statistics: Sellers got 87% of list price on average, compared to 91% at this same time last year. 20% of homes listed right now are Short Sales, less than 40 are foreclosures.

*MRIS – Mid-Atlantic Regional Information System – These statistics are not guaranteed but are considered accurate.

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*All statistics are gathered from the MRIS, Metropolitan Regional Information System, and while accurate, are not guaranteed.

See other Frederick Real Estate Market Reports for comparison.

_____________________________________________________________

The Highland  Group
Chris & Karen Highland *        301-831-9947
Turning Point Real Estate “ 301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119

provided by The Highland Group

Statistics for January 2012 have been published by MRIS*.
Here are the highlights for the three zip codes in the City of Frederick:

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This zip code shows 94 active listings, representing roughly a 4-5 month inventory.  Sellers got an average of 90% of list price this month, compared to 90% this time last year.  39% of sales were cash deals. Lots of Bargains!

Notes: The inventory is at historic lows right now, under 1000 county-wide. 20% of homes on the market are short sales. The average price of homes purchased in January reflects a lot of bargains, cash buyers, investors and flippers.

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*All statistics are gathered from the MRIS, Metropolitan Regional Information System, and while accurate, are not guaranteed.

See other Frederick Real Estate Market Reports for comparison.

_____________________________________________________________

The Highland  Group
Chris & Karen Highland *        301-831-9947
Turning Point Real Estate “ 301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119

provided by The Highland Group

Statistics for January 2012 have been published by MRIS*.
Here are the highlights for the three zip codes in the City of Frederick:

There are currently 134active listings in the zip code, representing roughly a 5-6 month inventory.   Sellers got 88% of list price on average, compared to 95% last year.  25% of sales last month were cash deals. 

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*All statistics are gathered from the MRIS, Metropolitan Regional Information System, and while accurate, are not guaranteed.

See other Frederick Real Estate Market Reports for comparison.

_____________________________________________________________

The Highland  Group
Chris & Karen Highland *        301-831-9947
Turning Point Real Estate “ 301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119

provided by The Highland Group

Statistics for January 2012 have been published by MRIS*.
Here are the highlights for the three zip codes in the City of Frederick:

The inventory is 169 active listings in the zip code, continuing to decrease, which represents roughly a 6 month inventory.  Sellers are getting an average 81% of list price, compared to 90% one year ago.  17% of sales last month were cash deals. (The normal number is 7-9%)

*     *     *     *     *

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*All statistics are gathered from the MRIS, Metropolitan Regional Information System, and while accurate, are not guaranteed.

See other Frederick Real Estate Market Reports for comparison.

_____________________________________________________________

The Highland  Group
Chris & Karen Highland *        301-831-9947
Turning Point Real Estate “ 301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119

1. Extended House Hunting.

In the Frederick Real Estate market, as much as 25% of the homes listed for sale are distressed sales, foreclosures and short sales. These homes tend toward two extremes, terrible condition, or so nice that they receive multiple offers.

Traditional sale homes can end up in multiple offers due to problems with appraisals and other lending-related issues. It’s not unusual to hear of buyers who have been looking for a year or more. In a complicated market, buyers can also get into “paralysis of analysis”.

These buyers find themselves susceptible to buyer’s fatigue, and can end up buying something out of frustration, and settling for something that is not really what they want. It’s important to work with a seasoned, professional agent to help you keep your expectations realistic, and that way, make strategic decisions the entire time.

2. Buyers Lose By Making Lowball Offers.

Buyers who think they can operate strictly on the basis of buyer’s market dynamics are in for disappointment. They must realize that most sellers will need to make enough to pay off their mortgage or at least receive the fair market value for their home. In a short sale or a foreclosure, the banks are trying to get as close to market value as possible. In our experience, they will turn down any lowball offer, waiting for an offer that will net them no less than 15% to 20% below market value.

3. Buyer’s Drama.

We’ve seen the stress and mayhem up close, and not just with first-time buyers. The information overload, the fear of further declines in value, and the stress of going through the tight lending process is something today’s buyers must face. Add to that the short sale process difficulties, and the difficulty of having correct expectations.

Again, working with a trusted agent will go a long way in helping you manage your expectations as you are able to rely on their knowledge of the process and the market. Every market is different and the success of your transaction depends on the forces at play. Downgrading the role that your emotions play in the process is important to successful decision-making, leading to a smoother process.

____________________________________________________________

The Highland  Group
Chris & Karen Highland      301-831-9947
Turning Point Real Estate   301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119

January:       Wine Down
February:     Fire In Ice
March:          Casino Night
April:             Much Ado About Books
May:              Mayfest
June:             I Art Frederick
July:              Main Street
August:         Dog Days
September:  Around the World
October:       Into the Night
November:   Holiday Open House
December:   Cookie Tour

Enjoy some of the pics from February’s First Saturday 2012, Fire In Ice:

Find out more at Frederick Downtown Partnership

____________________________________________________________

The Highland  Group
Chris & Karen Highland *        301-831-9947
Turning Point Real Estate “ 301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119

• Live music at several locations
• Hot cocoa stations
• Marshmallow roasting stations
• Interactive ice playground for the kids… not the grown-up kids, sorry:)
• Art Gallery exhibit openings
• and much more.

Sponsored by the Downtown Frederick Partnership, you can get more info on their website.

I put took a little video of the ice carving demonstration from  Fire In Ice 2011, enjoy!

_____________________________________________________________

The Highland  Group
Chris & Karen Highland *        301-831-9947
Turning Point Real Estate “ 301-831-8232
email us: isell4u2@msn.com
Text Us: 301-401-5119