September 30 Mortgage Rate Update
Mortgage applications fell slightly last week. This followed a 12.8% gain from the previous week.
The 30 year rate in Los Angeles County is at 4.625% (4 5/8 %) With rates at this level purchases become very attractive, and current homeowners who have not refinanced may want to take advantage of these great rates. I do expect rates to remain within the 5% range until the end of the year.
Need more information? Call Joe Elizondo of Northeast Financial at 323-256-7833 or email Joe at neast-financial @ sbcglobal.net.
NORTHEAST LOS ANGELES REAL ESTATE MARKET STATS 09/20 – 09/28
These zip codes include the Northeast Los Angeles communities of Eagle Rock, Highland Park, Mount Washington, Glassell Park, Sycamore Grove, Garvanza, Montecito Heights, Cypress Park, Lincoln Heights, El Sereno, Monterey Hills, and Hermon.
NORTHEAST LOS ANGELES: OPEN HOUSES FOR SUNDAY SEPTEMBER 27
Listing of Sunday’s Open Houses from I-Tech MLS
Listing of Sunday’s Open Houses from Combined L.A. Westside MLS
Featuring Open Houses in the Los Angeles communities of Eagle Rock, Highland Park, Mount Washington, Glassell Park, Sycamore Grove, Garvanza, Montecito Heights, Cypress Park, Lincoln Heights, El Sereno, Monterey Hills, and Hermon
Understanding Fannie Mae
The Federal National Mortgage Association, abbreviated FMNA, and commonly called “Fannie Mae” was established in 1938 by the US Congress as a Government Sponsored Enterprise. In 1968, the government converted Fannie Mae into a private shareholder-owned corporation.
Fannie Mae is responsible for maintaining a secondary market in home mortgages, by buying and pooling conforming loans from original lenders.
Fannie Mae buys loans, either for cash or in exchange for mortgage-backed securities that carry Fannie Mae’s guarantee of timely payment of interest and principal.
By purchasing the mortgages, Fannie Mae provide banks and other financial institutions with fresh money to make new loans.
In order for Fannie Mae to provide its guarantee to mortgage-backed securities it issues, it sets the guidelines for the loans that it will accept for purchase, called “conforming” loans. Mortgages that don’t follow the guidelines are called “non-conforming”.
Need more information? Call Joe Elizondo of Northeast Financial at 323-256-7833 or email Joe at neast-financial @ sbcglobal.net.
Existing Home Sale Numbers Released Today 9/24/2009
The numbers for existing home sales were released today. Sales were lower than expected, coming in at 5.1 million (nationwide) against an expected 5.3 million.
Inventories nationwide were down 11% to 3.6 million and supply dropped from 9.3 months to 8.5 months.
Even though sales did not meet the expected number, it was the second highest monthly total in the past 23 months.
Housing has been the epicenter of the recent financial mess and any missteps during the recovery could have a severe impact on the market.
Interest rates have continued to be under 5% for the 30 year fixed. Today’s rate is currently at 4.875%.
Need more information? Call Joe Elizondo of Northeast Financial at 323-256-7833 or email Joe at neast-financial @ sbcglobal.net.
Mortgage applications rebound
Mortgage applications made a nice rebound to the highest level since May. Helping applications along the way has been falling mortgage rates, and once again rates have broken below 5%, (today’s rate for, Wednesday September 23, 2009 is 4.75% for the 30 year fixed) leading to a resurgence of refinancing activity.
Not only that, but purchase applications, which generally herald new home sales, are showing signs of forming an uptrend. If interest rates stay within this current range (4.75%-5.375%), I would expect to see the real estate market continue it’s recovery.
Need more information? Call Joe Elizondo of Northeast Financial at 323-256-7833 or email Joe at neast-financial @ sbcglobal.net.
HARP: Home Affordable Refinance Program
HARP: Home Affordable Refinance Program was rolled out in April, 2009.
This program was designed to help homeowners who have had significant reductions in their property values finally be able to refinance their homes.
HARP allows a loan-to-value ratio set at 105% and under the Obama Administration this number has become 125%.
- You must be current on your payments in order to qualify for the refinancing.
- You cannot take cash out.
- Your current loan must be with a Fannie Mae or Freddie Mac lender.
- The refinancing must be completed with a Fannie Mae or Freddie Mac approved lender.
- The new loan will include mortgage insurance.
Visit http://makinghomeaffordable.gov/refinance_eligibility.html for more details.
Need more information? Call Joe Elizondo of Northeast Financial at 323-256-7833 or email Joe at neast-financial @ sbcglobal.net.
Los Angeles Foreclosure Case Study/Bank owned home for sale: 4455 Portola Avenue
This bank owned home is located in a rustic hillside area of El Sereno. It has 2 bedrooms and 1 bath. City records indicate 680 square feet, on a lot that is 6,500 square feet. It is currently listed at $112,500.
It sold in 1994 for $103,000.
It sold in April, 2004 for $205,000
It was refinanced in August, 2005 with a loan of $280,000
Notices of Default were filed January 23, 2008 and again on May 7, 2008.
The Trustee Sale took place May 6, 2009.
The property is now bank owned and listed for sale at $112,500.
This article is not intended as an advertisement of any property listed by another brokerage firm. It is intended only as a report of current real estate market conditions.
However, if you are interested in purchasing a property in today’s market, we have a staff of highly qualified agents ready to assist you.
Bob Taylor Properties, Inc. – 323-257-1080 — bobtaylorprop@gmail.com — 5526 North Figueroa Street, Highland Park, CA 90042
NORTHEAST LOS ANGELES REAL ESTATE MARKET STATS 09/13 – 09/20
These zip codes include the Northeast Los Angeles communities of Eagle Rock, Highland Park, Mount Washington, Glassell Park, Sycamore Grove, Garvanza, Montecito Heights, Cypress Park, Lincoln Heights, El Sereno, Monterey Hills, and Hermon.
NORTHEAST LOS ANGELES: OPEN HOUSES FOR SUNDAY SEPTEMBER 20
NORTHEAST LOS ANGELES: OPEN HOUSES FOR SUNDAY SEPTEMBER 20
Listing of Sunday’s Open Houses from I-Tech MLS
Listing of Sunday’s Open Houses from Combined L.A. Westside MLS
Featuring Open Houses in the Los Angeles communities of Eagle Rock, Highland Park, Mount Washington, Glassell Park, Sycamore Grove, Garvanza, Montecito Heights, Cypress Park, Lincoln Heights, El Sereno, Monterey Hills, and Hermon