One home left in Cornelius at Hobbs Farm
There's only one home left at Hobbs Farm in Cornelius. Make this 2012 plan yours and enjoy easy access to high-tech emplyers and Highway 26 and 8 for quick travel options. Click to learn more about this neighborhood and home. Contact Kent today to check out Hobbs Farm.
By appointment only
Remax Equity Group
(503) 495-3499 office
(503) 784-1065 mobile
Are short sales a good deal?
You may be hearing alot about short sales these days. A short sale is a real estate purchase whose proceeds fall "short" of the balance remaining on the home's loan. This is often the case when a bank has foreclosed on a home, preferring to sell it at a loss than pressing the owner for continued payments. While it may seem like there is an opportunity to save on a foreclosed home, there are some potential negatives to this kind of purchase that make buying a new home more favorable. Consider the advantages of buying a new Riverside Home versus a short sale:
Interest rates and buying power
You hear a lot about interest rates these days. To help you understand how interest rates affect buying power, we've put together the table below.
For example, say you qualify for a $300,000 loan with an interest rate of 4.5%. If interest rates rise to 5.5% you'd now only be qualified for a loan of $267,705. That one percent change in interest rates equals a $32,295 reduction in buying power. In other words, if prices drop by $10,000 and interest rates rise 1%, you've lost $20,000 by waiting.
While home prices are a very important consideration, interests rates have a large say in how much you can afford. If you're waiting to buy while interest rates are rising, you may end up paying more.