Chance Gates' Blog

RISMEDIA, April 15, 2010—The 30-year fixed mortgage rate on Zillow Mortgage Marketplace is currently 4.88%, down twenty basis points from 5.08% compared to this same time last week. The 30-year fixed mortgage rate rose last week, spiking Sunday at 5.05% before falling to 4.88% Monday.

Zillow’s real-time mortgage rates are based on thousands of custom mortgage quotes submitted daily to anonymous borrowers through the site, and reflect the most recent changes in the market. These are not marketing rates, or a weekly survey.

The rate for 15-year fixed home loans is currently 4.29%, while the rate for 5-1 adjustable-rate mortgages (ARM) is 3.49%.

The total volume of mortgage requests in the past week was up 4.5% from the prior week. Of last week’s requests, 21% were for refinance loans, 77% were for purchase loans and 2% were for home equity loans. The prior week, 25% of requests were for refinance loans, 73% were for purchase loans and 2% were for home equity loans.

As a Reno/Sparks real estate professional I encourage all questions and comments on the Reno/Sparks real estate market of any of the articles posted.  You can email me at  chance at ballard-company.com or http://www.myspace.com/chancegates

For more information, visit www.zillow.com.

RISMEDIA, February 12, 2010—Thirty-year fixed mortgage rates on Zillow Mortgage Marketplace are currently 4.81%, down six basis points from 4.87% at this time last week. The 30-year fixed mortgage rates hovered at or below 4.80% for most of the past weekend and neared 4.75% on Monday.

Zillow’s real-time mortgage rates are based on thousands of custom mortgage quotes submitted daily to anonymous borrowers through the site, and reflect the most recent changes in the market. These are not marketing rates or a weekly survey.

The rate for 15-year fixed home loans is currently 4.27%, while the rate for 5-1 adjustable rate mortgages is 3.70%.

The volume of mortgage requests in the past week fell 9.4% from the prior week. Of last week’s requests, 34.7% were for refinance loans, 63.5% were for purchase loans and 1.9% were for home equity loans. The prior week, 34.5% of requests were for refinance loans, 63.5% were for purchase loans and 2.1% were for home equity loans.

As a Reno/Sparks real estate professional, I encourage all questions or comments on the Reno/Sparks real estate market or any of the articles posted on this blog.  I can be reached by email at:   chance at ballard-company.com or http://www.myspace.com/chancegates

The Nevada Rural Housing Authority launched a new $25 million bond program.  To try and help thaw the frozen market for buyers of manufactured housing in Northern Nevada.

The bond program provides $4500 for first time purchasers.  This money doesn’t need to be repaid, and is available in communities with less than 100,000 people.

A 30 year loan with the down payment assistance would carry a fixed rate of 5.357%.  If a borrow opts out of the down payment assistance the 30 year loan would carry a fixed rate of 4.875%.

Either way, purchasers who have signed a contract by 4/30/2010 and close by the end of June may still qualify for the $8,000 federal tax credit  to first time buyers.

Understanding Pricing
I realize it is hard to stomach, but short sales and foreclosures have driven the value of homes way down. The good news is houses are starting to sell if they are priced right. It use to be: that a seller could find the highest price house that compares to his, price his house a little higher, wait a couple months and he would sell the house. Now if a seller prices his house to high and waits a couple months the actual selling price is less than before. In order to sell a house, the price must be accurately determined to get a fast sale for the most money possible. If the house stays on the market longer than 7 days, with no activity, a price adjustment is needed. A seller needs to stay updated on other houses for sale, in his neighborhood, at least once a week.

Marketing
The way to market a house has really changed in the last few years. A seller use to be able to put an ad in the newspaper or magazine to create interest in his property. Now only about 20% of home buyers go to a newspaper or magazine before buying a house. Wayne Gretzky once said “A great hockey player skates to where the puck is going”. In real estate that is also true, a seller needs to advertise where the buyers are going. That is the internet; over 80% of buyers start their search by looking at houses on line. A seller should get his house on as many web-sites as possible, over 200 different sites is highly recommended.

Internet marketing is a good start, however in today’s market a seller can not stop there. He needs to have fliers made up and passed out to all his neighbors. More than 50% of houses sold come from neighborhood activity.

Open Houses – Good or Bad?
This is a question that will be different for every seller. It is very true that less than 5% of open house actually sell the house. There is no telling if a potential buyer is actually inspecting the house to rob later. However, it does remind people that the house is on the market and helps create conversation about the house. It also gives potential buyers a noncommittal way of seeing the house.

As a Reno/Sparks real estate professional I encourage all questions and comment on the Reno/Sparks real estate market or any article posted.  I can be reached by email at  chance at ballard-company.com or http://www.myspace.com/chancegates