Now, with over four years since the beginning of the “Great Recession”, it’s likely that many would-be sellers are in an ideal position to make a move and take full advantage of the incredible appreciation that we’ve seen in the housing market. How? For starters, think of all the Baby Boomers who are ripe to make a move, but have been holding off due to qualifications or home values. Also, with interest rates so low, job stability increasing and lending qualifications actually easing, it’s more accessible for X and Y Generations to move up.
The following are some very specific developments that are making lending easier:
- Self-employed borrowers (as a group) have done better over the last two years than 2010 and 2009
- Values are moving up, which will help bring some properties above water
- Overall household income in our area is higher than other areas in the country
- Low interest rates, 40-year programs and a slew of other great lending programs are making mortgage qualification easier
- Those who had a history of short selling or foreclosure are likely eligible for lending this year — Generally, two years must pass since a short sale and three years after a foreclosure for a person to be eligible for mortgage financing again
If you haven’t reached out to your favorite Mortgage Advisor, now is certainly the time to get his/her input on how you can help your clients make an ideal move in such an extraordinary environment.