For years, many buyers weren’t honest about their income and some loan officers didn’t care. The loans were bundled by Wall Street and sold to investors who were told anything but the truth about their value. For years, some real estate professionals prodded appraisers to move that appraisal up ‘just a bit’ and most sellers […]
Today, people say: “It takes a village to raise a child”. The realities of today’s life (two family incomes and such) have extended a family to lean on others (neighbors, relatives, teachers, etc.) to protect and teach our young people about culture, history and acceptable behaviors. Teams, because of their ability to provide specialized solutions […]
We often point out that a buyer should be more concerned about the COST of a home rather than the PRICE. Price obviously is a component of cost. However, unless you buy all-cash, you must also be concerned about the financing of the purchase. The price and the financing together determine the cost of a home. Today, […]
There is a very famous saying which asserts “Sell High, Buy Low”. It is obviously great advice no matter what the investment. Below is a graph showing the cycle of investments. It shows the points of maximum risk and maximum opportunity when purchasing. We want to sell high (point of maximum risk) and buy low (point […]
“CoreLogic Blasts NAR for Overstating Home Sales” If you looked at this headline from a recent UPI article, you would think that CoreLogic attacked the National Association of Realtors (NAR) for purposely misleading the public regarding the real estate market by misstating the number of annual home sales. Some have mentioned the word ‘conspiracy’. Others […]
Today, we have a special treat. Ann Douglas of DoorFly.com is our guest blogger explaining why most would prefer to own. Enjoy! – The KCM Crew Renting is a very frustrating way of life. The money you pay every month disappears, leaving you with few benefits other than a roof over your head. Compared to […]
In the choppy seas of mortgage finance, you need someone who can navigate the ever changing product guidelines, interest rate environment, and understands your individual circumstance. These professional mortgage originators are worth their weight in gold. Most people enter the maze of mortgages every five years or so, and the industry has evolved so much […]
The greatest hurdle standing in the way of a complete housing recovery is the backlog of distressed properties that must be liquidated. The banks must release these properties to the market in a controlled fashion. If released too quickly, they will crush house values. If released too slowly, the recovery will be further delayed. However, the control […]
Our founder, Steve Harney, occasionally asks to do a personal post on what he sees as important to our industry. Today is one of those days. Enjoy! – The KCM Crew The world around me is evolving rapidly. Sometimes I wonder if I can even keep up with all the advances and changes. One big […]
The real estate market has experienced difficulty over the last five years. From 2000-2006, house values climbed to unsustainable heights. Since then, we have seen much of this appreciation disappear. Now many look at the housing market as dead and lying in the ashes of its previous glory. However, there is growing evidence that, just […]
We have seen many headlines recently reporting that foreclosures and foreclosure sales have decreased over the last few months. However, though the headlines are technically accurate, they don’t reflect what is actually taking place. Foreclosure statistics are being impacted by the issues surrounding the challenges with faulty paperwork which the banks have spent the last […]
The administration recently announced increases to the insurance premiums that the Federal Housing Administration (FHA) charges. FHA is the dominant loan program in the marketplace today. The FHA has two types of Mortgage Insurance Premiums – Up Front Mortgage Insurance Premium (UFMIP) and the Monthly Mortgage Insurance Premium (MMIP). Let’s see how these impact a borrower’s ability to purchase. UFMIP […]
We have received many questions regarding the government’s plans for limiting federal support of the mortgage process. We realize that there is much confusion and concern surrounding this issue. However, The KCM Crew does not get involved in discussing the possibilities of future legislation nor are we in the business of lobbying for certain outcomes. This will be […]
The conventional wisdom when selling a home has always been to wait until the ‘Spring Buying Season’. Over the years, that has seemed to make sense and is now accepted as a good strategy for those who want to sell their house and receive the best possible price. This real estate market has shattered many previously […]
The title of this blog is the advice given in a book of financial wisdom, The Richest Man in Babylon, written by George S. Clason in 1930. The book has become a classic having sold over 2 million copies in 26 languages. The advice is just as important today as it was when written almost a […]
Many purchasers have been sitting on the sidelines waiting for home prices to hit bottom. They want to guarantee that they are purchasing at the best possible price. Like them, we also believe that prices still have some room to fall in most markets. However, we disagree that waiting is a good financial decision. The buyer should […]
In many municipalities, it is that time of year when homeowners have an opportunity to grieve their taxes. In most places, your real estate tax bill is determined largely by the value of your home. With the tumble in home values continuing, many homes have an over-assessed value attached to them. So, if you own […]
There are many people sitting on the sidelines right now afraid to pull the trigger on a real estate purchase. Some are first time buyers; some are thinking of moving up to the home of their dreams; others are looking to purchase a vacation home or perhaps a future retirement home. Fear has prevented them […]
What is the most important thing a seller should look for when hiring a real estate agent to sell their house? We are often asked this question. Is it the size of the company they are licensed with? Is it their marketing program? Their years experience in the business? Should you choose the agent who […]
Several months ago, we explained that there would be an opportunity to sell your house at a higher price in the first quarter of this year than you could later in the year. Our believe was that the robo-signing mess would delay foreclosures coming to the market and that your home would sell at a […]
Over the next several months, there is going to be some confusion about how well the real estate market is doing. Some headlines are going to announce several consecutive months of increased sales. Other headlines are going to talk about a near total collapse in housing. Both headlines will be based on facts supplied by […]
Let’s start with an acknowledgement…the mortgage industry got messed up in the boom times. People will debate for years to come whose fault it was (loan officers, appraisers, the government, the secondary market, Wall Street, the Big Bad Wolf, Sasquatch and others). Today, we will ignore blame and look to how the Regulators are attempting […]
It is difficult to read an article about real estate today without the term ‘shadow inventory’ being mentioned. But, what exactly is shadow inventory? It refers to the inventory of homes not yet for sale that will eventually come to market in the near future. Most definitions include properties already foreclosed on and owned by […]
We found this past weekend’s New York Times article, You Don’t Have To Pay It, very interesting reading. It was a piece on whether it makes sense to pay a 6% commission to your real estate agent in today’s market. In the article, there are sellers, buyers and even agents debating what is the right number that […]
The financial turmoil we have experienced over the last five years has definitely taken it’s toll. It has especially been a difficult time for real estate. Nationally, values have fallen over 25% and there may be more softening in prices to come. We realize that this has caused difficulty, and in some cases, heartbreak for […]
