Except for the half time show with Prince and the first 7 minutes of the Superbowl, the game was its usual once a year bore. The commercials weren't even that good.
But, as I thought, this week sees a flood of new properties on the market.On the Monday Broker's Tour it was like the city of Piedmont just made it to the map with a half dozen new properties on the market.
I was talking to a loan broker this morning and 30 year fixed mortgages are at 6.375% percent, and adjust ables are at 6.25%. With so little difference between the two, most buyers are moving towards the 30 year fixed mortgage, which is actually healthier for the market in general. One of the things that lead to the hyper inflated Real Estate market of the last few years were the overly creative packages that banks were offering that allowed buyers to offer way more for a property than they could normally afford.
In fact, as my loan broker told me, those people who bought homes with 5/1 ARMS are now showing up seeking to refinance their loans. In the beginning they were paying as low as 4% for their mortgages, but now they are looking at payments as high as 7.5%. Of course when you tell someone that they will be paying 6.375% when they have been paying 4%, you still get a scowl, eventhough you saved them from an even higher payment.
