Mortgage News Matters

What are the Benefits of Working with a Real Estate Professional?

Working with a real estate professional can be extremely helpful – especially for first-time homebuyers with little to no experience. They can help save time, money, and the stress that can come with navigating the unknown of the real estate market.

To help, we’ve listed the 4 MAJOR BENEFITS of working with a Real Estate Professional:

  1. Paperwork. Real estate professionals provide assistance with all the necessary paperwork and disclosures required in today’s heavily regulated environment. Their expertise can help save time by avoiding common errors made by those who are unfamiliar with the laws and regulations.

  2. Experience. Highly educated and with years of real estate experience, a professional knows the ins and out of the entire sales process, saving you both time and unnecessary distress.

  3. Negotiations. Real estate professionals often act as “buffer” in negotiations with all parties throughout the entire transaction. Which can be helpful and even necessary when negotiations become more complex.

  4. Pricing. Lastly, real estate professionals can look to their understanding of today’s market when setting an offer price. Not only do they have the years of experience behind them, but they also have access to online tools and resources that are only available to industry professionals.

To learn more about the benefits of working with a Real Estate Agent and to speak with one of our referral partners, contact a VanDyk Loan Originator today!

Mortgage News Matters

The Housing Market is Cooling Down – What Does This Mean for Homebuyers?

It’s no secret that the housing market has experienced drastic changes since the start of 2020. After mortgage rates dropped significantly and demand raised substantially, median home prices were at an all-time high by the end of the year.

However, this trend looks like it’s going to be changing – and very soon. Currently, the number of homes for sale is up 30%, since it’s lowest point this past spring.

Some industry experts agree that a combination of regular seasonal market changes and pushback from homebuyers to continue paying such high prices has contributed to the influx of homes on the market. However, another reason could be that sellers are finally ready to sell, as the pandemic seems to have become more manageable.

With this, it is important to note that even more inventory is expected to enter the market as the mortgage forbearance program – or CARES Act – that was passed in late March of 2020, will begin coming to an end on September 30th, 2021. This program, which has allowed millions of homeowners to pause mortgage payments, has been a lifeline for many. And its end means that those who will stop receiving support may have no other option than to sell.

With 1.7 borrowers enrolled in the program, we can be sure that we will see a significant increase in homes for sale – but not all at once, and not right away.

The program is set to end in phases over several months, with the majority of borrowers being dropped at the end of September and the start of October.

This change is expected to be drastic, as Zillow estimates that 25% of the 1.7 million borrowers that are still in forbearance will likely list their home for sale, which accounts for 211,700 homes to enter the market in the next 2 months.

It is important to note that this influx in homes for sale does not mean that we should expect a housing crash, rather it will continue to push the market forward paired with the continuation of low mortgage rates.

This is great news for buyers looking to purchase a home and have been living in a seller’s market for the past 18 months.

More inventory = more opportunity to buy.