GREAT TIME TO BUY – Too many buyers are focusing on home prices and waiting to jump into the market, afraid that a property bought today will be worth less tomorrow. But rising mortgage rates should also be a concern, and many potential buyers could find themselves out of luck if they wait much longer.
In a recent Wall Street Journal article, investors are looking at Florida condominiums as a bargain at today’s prices. They are not looking for the market to bottom out, they feel it is close enough. If they buy now and hold for a few years, the appreciation will be sufficient to cover any drop in prices, even if the dip in prices is 10% more.
An early look at the real estate market statistics for Naples, Bonita Springs and Estero in the month of February appear to support an impending improvement. Detail posts about the statistics will be posted tomorrow.
TRENDS – Across the nation, credit counselors are reporting the same trend: A growing number of people have started paying their credit card bills before – and sometimes instead of – their mortgages. That’s a striking reversal from the norm, one that reflects rising desperation. It suggests that some people essentially have given up trying to stay current with their mortgages and instead are focused on using credit cards to squeak by.
FORECLOSURES – Federal lawmakers refuse to bail out mortgage companies impacted by the subprime mortgage crisis, even as they scramble to find ways to help at-risk homeowners. However, they’re finding that it’s impossible to help the latter without also helping the former.
VETERANS’ ADMINISTRATION LOANS – The Veterans’ Home Loan Guaranty Program should continue to help the nation’s veterans. In 2007, the VA successfully intervened and saved nearly 8,500 veterans’ homes, saving the government $181.3 million in avoided claims.