After promising to raise rates, then delaying doing so repeatedly, the Federal Reserve has finally done it. This is the first time rates have been raised in a decade, and there are another three hikes planned for 2016, which will result in a funds rate of about 1.25 percent by next year’s end. Although we know that rates have finally
According to Quicken Loans’ Home Price Perception Index, November’s average home appraisals were 1.87 percent less than expected. This was the tenth month homeowners expected values exceeded appraised values. Along with this disappointment, the average home prices across the country continued to rise. November is the third month the difference between homeowner and appraised estimates became tighter. In many metro
Counties with slightly higher than average median home prices, including areas in California, Massachusetts, and Colorado, have seen a raise in loan limits. For the other counties in the United States, the baseline loan limit remains at $417,000. Freddie Mac has implemented updated rules for condominiums, co-ops, and Home Ready mortgages. The Home Ready program has raised some eyebrows as
When looking to purchase a new home, many people focus on finding a house and obtaining a mortgage that they can afford. However, prospective home buyers should be aware that there’s more to being able to pay for a house than having an income that exceeds their outgo. Banks base their decision to lend and at what rate on an
