What’s Up This Week
Friday, August 3rd, 2007Countrywide Mortgage just released their reaction to the market and it was not good. Countrywide did have a large exposure to the sub-prime market and they feel were are not at the bottom yet. That is not exactly headline material since most of us in the trenches are aware of that situation. What their announcement does, in my view, is to add another layer of doubt to an already uncertain buying public. What motivation does a buyer have if the headlines constantly remind him/her that the end is not in sight. The end comes when confidence in the marketplace comes back.In today’s market, loan rates are still good and the 30 year fixed would still be the best choice of financing methods. As I have mentioned before, buy in a good area( “location, location and more location”) and be prepared to wage a good battle for a price you want. Sellers who are not ready to tackle this market should wait it out because it can be brutal. Over-pricing is a waste of everyone’s time. Lots of inventory out there and few buyers…a true buyer’s market. Go get ‘em. We are nearing a stability in the market where each side has an equal say in the transaction. If you are a buyer, get in before that happens. Call me at 579-9540