From the Mortgage Front

From the Mortgage Front

Posted October 28, 2018

Looking for a home in Denver? Schedule a call now and let’s talk! Had coffee the other day with a lender friend, Turner Williams of AmeriFirst Financial. He gave me the lowdown on Denver’s real estate market from the loan officer perspective. Here are some of the takeaways. 

Shifting Market, Rising Rates – The big factors right now affecting home mortgages in Denver are the shifting market conditions and of course increasing interest rates. Rates are edging closer to 5%, and they won’t go down again for the foreseeable future.

We’re expecting continued price appreciation in Denver, but likely at a slower pace than we’ve been seeing. So it’s important for serious buyers to understand that there is urgency in today’s market for buyers to catch the best rate and maximize their buying power. 

Low Down Payments?
Turner has a couple of conventional loan, 3% down payment offerings with the same rates as 20% down, and you can buy out of the monthly MI (mortgage insurance).

How About Jumbo Loan Rates?

He says there are still great deals on jumbo loans also. While they have 5 and 10% down jumbo loans available, 15% is more of a sweet spot — good fixed rates with no MI.

Rates for 10-year ARMs can still be bought down to the low 4s and represent a lot of value. And the always popular 30-year fixed rates are in the middle-upper 4s.

Fall and winter can be a great time for buyers. While inventory is typically lower than summer months, this year it’s up over last year. And sellers are usually serious if they’re listing this time of year — meaning they could be more willing to negotiate. It could be a great time for buyers to get price reductions or the all-important closing cost credit from sellers, which help save cash. 

Turner’s great advice for buyers: On that first weekend snow day while everyone else is hitting the slopes– get out there and go find your house! 

Looking for a home in Denver? Schedule a call now and let’s talk! 

In the past few years, it’s been a tough market for buyers,with short inventory and extreme competition. Now that the market is becoming more friendly for buyers, it’s a good time to jump in. 

Give me a call at 720.514.9540 to let me help you find your dream home! 

Published by Jessica Wilkie, Broker Associate

Hard worker data geek with experience and humor to share. Enjoy serving people throughout their real estate journeys and helping them make good and informed real estate moves.

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