In 2012 we saw home prices across the country finally reach the bottom and one thing that Orange County mortgage brokers want to know is will the real estate recovery continue in 2013 or will the real estate market relapse once again?
It’s All About Credit
Yes credit is still tight,
and although the Federal Housing Administration still allows residents in
Orange County and across the United States to buy a home, if they have a credit
score of 700, or less with a down payment of at least 3.5%, banks are still
placing more scrutiny on property appraisals and other things like bank
statements and income, just so they can they can guarantee that the mortgage
loan they approve will not go into default.
What does this mean for
residents in this area who want to buy an Orange County home? It’s now harder
for anyone to get a mortgage loan than it was since the mid 1990’s but it’s not
going to be impossible for an Orange County resident to get a mortgage loan in
2013 and buy the home of his or her dreams.
Home Prices Expected To Rise In 2013
One plus side of the
improving Orange County home market in 2013 is that as home prices rise, most
lenders are expected to become more aggressive, and top Orange County mortgage
brokers expect them to lower their lending standards, which will make the OC
real estate even more competitive as more homeowners will be refinancing,
selling their homes and buying second homes for rental properties.
Even though most mortgage
brokers are hoping that lenders will relax their regulations, there is a fear
that new regulations will hit the banking industry, as part of the recent Dodd-Frank
Act, these new regulations would further tighten lending standards and make it
harder for Orange County residents to qualify for mortgage loans.
To learn more about the
latest mortgage news or to get a quote for an Orange County mortgage loan,
contact Steven Williams at Sun Financial Group by calling (949) 699-1950.
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