Coronavirus Real Estate & Mortgage Update 4/24/20
Real Estate update:
Today the Governor extended the stay at home restrictions until May 15. So, no in person home showings are allowed before May 15.
However, a workaround is to watch a video walkthrough, and then purchase the house subject to your being able to see it at the home inspection.
You ARE legally allowed to visit the home during the home inspection, you are NOT legally allowed to view the house before you make an offer! Strange times we are living through! Mortgage update:
Mortgage rates are low right now, but they 'should' be lower. The government shutdown the economy, and especially giving everyone the opportunity to stop making their mortgage payments for 6 months, has created turmoil in the mortgage market.
Being a mortgage lender and servicer of mortgages (servicers are where you send your payment) has become more risky. That risk is keeping mortgage rates higher than they ‘should be’ right now. Even though rates are incredibly low, they would be lower if lenders and servicers were not so concerned about people not making their payments. The good news is that you can still obtain a mortgage right now, and rates are very low. The government has taken unprecedented steps to keep the mortgage market operating and liquid, so new mortgage are available. The downside is that credit score requirements, and other lending requirements have made it more restrictive and expensive for some types of borrowers.
If you want to purchase house, or refinance your mortgage, please reach out to me and let’s chat and come up with a game plan that works for you!
Once we get back to work, and we reach our new normal, mortgage credit requirements and other rules will probably be relaxed again. Rates may even go lower than they are right now.