Posts Tagged ‘income’

Articles

You mean the interest rate affects loan qualification?

In Uncategorized on October 4, 2011 by reibroker Tagged: , , , ,

Yes! Now you’re getting it. With lower interest rates you can qualify for more home – especially with prices as low as they are today.

Take 3 minutes and read this very short article on how and why a higher interest rate can keep you from qualify for the same home you qualify for at lower rates.

Amplify’d from kennycook.com

For people who need to purchase a new home in the Atlanta area the numbers do line up well for the buying opportunity. The oversupply of available home listings, fixed 30 year interest rates at or near four percent, and underwriting guidelines trending toward “reasonable” it certainly is time to consider the move. Now here is some really good news: lowest interest rates results in lower monthly payments which changes the buyer’s debt-to-income ration resulting in the ability to buy more home for less money.

Debt To Income Ratio (DTI)

Debt To Income Ratio (DTI)

It becomes quickly obvious that as interest rates rise the buyer qualifies for less home. This is the primary reason today is a very good time to buy because rates are incredibly low (and will not stay that way) and home values are “in the tank” (and will not stay that way).

Read more at kennycook.com

 

Articles

The economy of the mortgaged family

In Uncategorized on April 11, 2011 by reibroker Tagged: , , , ,

These numbers really are not too surprising. They bring out facts you may not have already know and lead to some clues about how long it will be until the US housing market recovers or at least begins to look more positive.

For people to sell one home and buy another today is a challenge born out in these statistics: If you have to bring money to the closing when you sell just to cover the difference between payoff and sales price you may not have enough to purchase a new home. If you do a short sale you damage your credit for at least 2 years or longer depending on your situation.

Read this full article for some good insights from the statistics channel.

Amplify’d from www.marketingcharts.com

Mortgage Difficulty Rates High, But Decreasing

harris-mortgage-payments-by-americans-apr11.gifA new Harris Poll finds that fully 22% of people with mortgages are having difficulty meeting their mortgage payments, including 7% who are having “a great deal of difficulty”. Furthermore, 21% of those with mortgages are “underwater” in that they think their homes are worth less than the amounts that they owe.

Middle Class Most Likely to Be Underwater

Looking at income demographics among homeowners who say they are underwater, the highest percentage (27%) is found among what could be considered lower middle class homeowners with an annual household income of $35,000 to $49,999. The next-highest percentage (24%) is found among middle class homeowners one income level higher (24%).

Read more at www.marketingcharts.com