North Sound Property News

I’ve had a very busy week and as a result, not able to post much.  But, I’ve been doing my darnedest to keep up with the news in the real estate and lending markets.  It’s been a bad week.  Although, I still think that what is happening is going to be better in the long-term for everyone than allowing lax lending standards to continue.  We would experience even worse problems if things had continued as they were for much longer.

 So, Countrywide is now on the list of troubled lenders.  Washington Mutual is rumored also to be in trouble.  The lending market changes every day and I think it will probably be 6 to 9 months before things turn around.  But I still think it makes sense to buy a home if it is your goal to own a home and you have the ability to do so.  For folks with credit challenges there are still a lot of great programs–more conservative and safer programs–such as VA and FHA that can help you get into a home.  For those who are looking at a conventional loan and have a good down payment, it’s a great time to buy.  For those looking at jumbo loans, the news isn’t as good but because of the tougher lending market, sellers are more likely to bargain on price than they were in the past.

In real estate, it’s important to remember that bad news can be good news depending on your perspective.  Prices falling?  That’s bad news for sellers, but good for buyers.  Prices rising?  Bad for buyers but good for sellers.  Tough to get a loan?  That means it’s a good opportunity for buyers who can qualify to negotiate a good deal.   Also an opportunity for sellers to offer seller financing and other alternative lending to invite offers in a tough market.

No matter what the bad news is, there’s usually a postive aspect to it.  Just something to think about in these times, and all I really have time for today!

About the Author: Sandy Kaduce is Associate Broker of Gallery Homes Real Estate. She serves buyers and sellers in North King and South Snohomish counties. She is 2009 Board President of the Mukilteo Chamber of Commerce, as well as Vice President of Site Selection for Habitat for Humanity of Snohomish County. For more information, visit Sandy on the web at www.sandykaduce.com! Read more from this author