Sep 15, 2014 | Market Outlook
Last week’s housing related economic reports were slim, but an unexpected increase in weekly jobless claims gained attention. Analysts calmed concerns by noting that last week’s reading of 315,000 new jobless claims was not far removed from jobless claim levels before the recession. Expectations for last week’s reading were for 301,000 new jobless claims based on the previous week’s original reading of 302,000. The previous week’s reading was revised to 304,000 new jobless claims.
Jobless Claims: 4-Week Average for Continuing Claims Hits Lowest Level Since 2007
Prospective home buyers and current homeowners typically consider their jobs and employment prospects before seeking a home purchase mortgage or refinancing their existing home loans. Last week’s readings released by the Department of Labor suggest that while weekly jobless claims increased, overall trends in hiring and continuing jobless claims indicate a stronger labor sector.
The four-week average of new jobless claims rose from 303,250 to 304,000. The four-week average is typically less volatile than week-to-week readings. Continuing jobless claims increased by 9,000 to 2.49 million for the week ended August 30. The four-week average for continuing jobless claims fell by 15,500 claims to 2.50 million continuing jobless claims. This was the lowest reading for continuing jobless claims since 2007.
In other labor related news, job openings were nearly steady at 4.67 million in July against June’s reading of 4.68 million new job openings. The Labor Department reported that job openings increased by 22 percent year-over-year, with private sector jobs rising to 4.19 million job openings and government jobs increasing by 101,000 job openings to 485,000 in July. The number of hires in July rose from June’s reading of 4.79 million to 4.87 million in July. This was the highest number of hires since 2007. Pre-recession hiring levels were approximately 5 million; this suggests that U.S. labor trends are approaching pre-recession levels.
Mortgage Rates Rise, Discount Points Unchanged
Freddie Mac reported higher mortgage rates on Thursday, with average discount points unchanged at 0.50 across the board. Average rates for a 30-year fixed rate mortgage rose from 4.10 percent to 4.12 percent; the average rate for a 15-year mortgage was two basis points higher at 3.26 percent and the average rate for a 5/1 adjustable rate mortgage rose to 2.99 percent from the prior week’s average of 2.97 percent.
What’s Ahead
This week’s scheduled news includes several reports related to housing. In addition to Freddie Mac’s usual mortgage rates report, The National Association of Home Builders (NAHB) will release its Housing Market Index and the Department of Commerce will release data on housing starts in August. General economic reports include the Consumer Price Index, Core Consumer Price Index, and Leading Economic Indicators.
The Federal Open Market Committee of the Federal Reserve will release its post-meeting statement on Wednesday, and Fed Chair Janet Yellen is also expected to give a press conference. The Federal Reserve may provide further indication of its intention concerning the target federal funds rate, which is currently at 0.00 to 0.250 percent. The Fed may address its intentions concerning the federal funds rate, but the FOMC has been consistently vague about details concerning its economic strategy.
Sep 12, 2014 | Home Mortgage Tips
If you have been declined for a mortgage, you may think that buying that new home is out of reach. However, there are ways to turn a rejection into an approval and to find a more accessible loan. Here are just a few steps you can take to learn about your loan options and get the mortgage that works for you.
Find Out Why The Mortgage Application Was Denied
The first step to getting a second opinion is to find out why your mortgage application was denied. Banks commonly deny mortgages for reasons like a low credit score, a high debt-to-income ratio, or concerns about the applicant’s past and present employment status.
To qualify for a mortgage, most lenders want to see someone with a credit score of 640, a debt-to-income ratio of less than 43 percent after the mortgage is included and at least 30 days in your current position if using wage income to qualify for the loan.
Not All Lenders View An Application The Same Way
A good reason why it is worthwhile to ask for a second opinion about your ability to get a loan is because no two lenders will view an application the same way. For one lender, a credit score of 650 is insufficient for getting a loan – but another lender might be more than happy to offer you a mortgage with a score of 650. To get a second opinion, you may wish to talk to a mortgage broker who will be able to scan a variety of loan programs to find one that works for you.
There Are Ways To Find Down Payment And Closing Cost Assistance
Those who have a low credit score or other questionable metrics may be able to qualify for a loan by offering a larger down payment. While a first-time buyer may not have the cash on hand to make a larger payment, there may be programs that provide grants or low-interest loans that can be used as part of your down payment or to help pay closing costs. With this extra money, it may be possible to overcome lender objections and obtain a mortgage.
If your mortgage application has been rejected, it doesn’t mean that you can’t get a mortgage from another lender. If you’re ready to buy a house but just need to clear the mortgage approval hurdle, there are ways to get a leg up. Contact me for a free, no obligation consultation. I can put you in contact with a local, quality and dependable mortgage loan officer. David – 978-423-0669
Sep 11, 2014 | Around The Home
Your home is your haven, your place to get away from the world at the end of a long day. That’s why keeping your home decor on-trend is important: It will create an inspiring and relaxing space that you can enjoy.
Whether you are looking for changes you can make at your existing residence or you’re thinking about what to look for in a new home, pay attention to what’s coming in 2015. These exciting trends in home decor that are really making a splash.
It’s All About Color
From exterior to interior color schemes, 2015 is the year of lavender, plum, tan, beige, and blue, with a dash of green. expect to see variations of these colors dressing new homes. You can make a refreshing change in your own home simply by applying a new coat of paint in your living space.
Start small and see what a difference it can make in one room. You can go big with new vinyl siding if you really want to make your home pop.
Transform Your Outdoor Living Space
Many homeowners are tapping into the potential of their yards. From patios to gazebos and waterscapes, there are so many ways that you can enhance your outdoor space and create an escape that is appealing and inviting.
Bring The Outdoors Inside
The latest buzz is about color schemes, fabrics, and prints that create an airy atmosphere within the home. It’s like nature has been invited in to stay a while. Use water colors, soft textures and eye-catching pictures on the wall to create a fantasy that is irresistible.
Take Your Decor Back In Time
Many see a return to older, simpler times as an upcoming trend in home decor. Don’t be surprised to see antique rockers on the porch, a grandfather clock in the hallway, and family photographs from bygone days to bring back a sense of yesteryear.
Give Your Space Two Green Thumbs Up
Homeowners are trying to create a natural ambiance by bringing more greenery into their yards and homes. Consider making the addition of live plants to the interior – it adds a decorative touch and improves air quality.
2015 is going to bring with it some big changes in home decor trends. Whether you’re looking to sell your home or you just want to spruce it up, these great decor ideas will help you to create a livable space that has 2015 written all over it.
For more information about the latest trends, or to find out how you can use home decor to boost your home’s resale value, contact your local real estate professional today.
Sep 10, 2014 | Home Seller Tips
An open house is an opportunity for sellers to showcase their property to a potentially large number of interested buyers, and a great way to generate buzz. While you want to be as open and honest about the property as possible, you also want to make a good impression – and that means there are some things that you don’t want to say during an open house. Here are five things that you should definitely keep to yourself during your next open house.
This Is Where The Dog Did His Business
There is a good chance that the new owner of a home is going to do something about stained carpet or hardwood. At best, the honesty is providing too much information to the buyer. At worst, the honesty could turn a potential buyer off.
The Candle Is Covering Up For Last Night’s Fish Dinner
A buyer wants to get a true feel for how he or she would enjoy living in the house. If a candle is covering up an unsavory scent, it could cause the buyer to ask what else a seller may be hiding.
The Neighbors Tend To Be Noisy
What one person may consider excessive noise may not bother another person. The last thing that a seller wants to do is create the impression that a home is not a peaceful place for the buyer to spend their evenings and weekends in. Let buyers judge for themselves how noisy your neighbors are.
The Schools Around Here Aren’t Very Good
Having good schools in the area is a feature that boosts property values for everyone in the neighborhood, and mentioning that the schools are poor or anything less than the best could turn buyers off. If the schools aren’t great or aren’t up to the seller’s standards, it is best to not mention them at all. Again, let your buyers decide whether or not they like the schools.
There Isn’t Much To Do Around Here
Although most buyers know what kinds of attractions are nearby, there is no reason to be negative about a house located in a more rural area. The concept of “boring” is subjective. If buyers are looking at your property, they have likely already researched the community – and they like it enough to come have a look at your house.
An open house is your opportunity to create a great impression. Don’t waste it by pointing out all of your home’s flaws. For more advice on how to sell your home, contact a local real estate professional today.
Sep 9, 2014 | Around The Home
In some homes, garages are used only for car storage. They may appear to be bare and without real functional use for homeowners. However, other garages may be an envy of the neighborhood – they may have floor to ceiling shelving systems, and they may be the picture-perfect image of organization.
With a bit of planning and creativity, you can turn your garage into a much more functional space. Here’s how you can make your garage the most useful space in the house.
Determine What You Need To Store
One of the most important steps to take when improving the functionality of your garage is to determine which items you need to store. The last thing you want is to invest in a shelving system or cabinets for your garage only to later realize that your belongings do not fit in the features you have purchased. Take an inventory of the items you want to put in the space as well as their sizes and dimensions, and then take stock of the space available to store these items.
Invest In Storage Features
There are numerous types of storage features that you may choose to invest in for your garage, such as cabinets, drawers, wall pegs, shelves, overhead storage features, and bins.
The best storage features for your garage are those that take into account your accessibility needs. For example, seasonal items that you may rarely need access to may be placed in overhead storage features that hang over the cars. On the other hand, screwdrivers and other tools that you may need to use more frequently should be placed in a more accessible area.
Consider The Look Of The Garage
Some homeowners truly do not care what their garage looks like, but you should keep in mind that this is a room that is revealed to the outside world each time your garage doors are raised. This can indeed affect curb appeal and others’ impressions of you. Therefore, think about investing in a full garage storage system rather than piecing together different items.
If your garage looks like a war zone, you are wasting valuable storage space and compromising your property value. Investing in aesthetically pleasing and highly functional storage solutions can turn your garage into a major selling point and a great multi-use space. For more great home renovation ideas, or to find your next home in a community that suits you, contact a real estate professional today.
