Market Trends Info for Military Movers
PCS season is coming to a close. 2015 was a crazy year for sellers, and it seems word got out. This season, we saw the market even out a bit. More sellers listed their homes this year and the market saw less multiple offer situations and slightly longer days on market due to the influx in inventory. Nevertheless, buyers are still out there and we are still here to keep you in the loop of what is going on in our market. The most recent weekly market stats as of the date of this publication are as follows:
Active to Pending Listing Statistics
Eagle River lead the market with 9.2%, followed by Palmer averaging 7.9%. Anchorage was at 7.5% and Wasilla at 4.2%. This is a broad scope and many variables are considered but the stats were calculated from the following sales data:
-Eagle River had 194 listings with 18 go under contract.
-Palmer had 126 with 10 go under contract.
-Anchorage had 848 active and 64 go under contract.
-Wasilla had 585 with 23 go under contract,.
Ever interested to keep pace with these numbers on a weekly or monthly basis? Like our Facebook Page! We post them at least twice a month.
Interest Rates have maintained pretty steady at 3.25% -3.375%. This is what is currently “par” rate with a few local lenders on a VA loan and is not indicative of any individual buyer’s loan terms. Regardless, these are still considered favorable rates. We have not seen any significant difference in rates related to the European Brexit situation that was recently announced. Many local lenders publish their rates daily on their websites should you decide to check them out! It is always important to note when referencing interest rates to pay attention to the “cost” for that rate. As many lower than average interest rates are not credit based, but more point based in what is called a “buydown” where a consumer can take a lower rate in exchange for a fee paid to the lender.
Refinance Offers via Mail
Have you received those VA refinance mailers lately? Does the rate seem exceptionally low and too good to be true? At least once a month we have someone call us wishing to list their home, and when we pull their payoff it is substantially more than it should be for the length of time they have owned the home. This is because they took advantage of one of the mailers and received a lower interest rate, thus lowering their monthly payment by $100-120.00 a month, but increasing their balance by $7,000-10,000.00 on average. These refinance lenders (not all but most) roll the closing costs for this refinance into your loan balance. Think of it as buying your house and paying the closing fees all over again. But instead of paying them at closing, you are financing them into your loan balance. Thus raising your balance, decreasing your equity, and prolonging the time you must keep the home before you can sell it. We recommend you always read the fine print carefully when considering these refinances, and consider the length of time you intend to keep the home before adding a substantial amount to your loan balance that would take on average 6.5-7 years to pay off. ($8,000 added to your balance to save $100.00 a month would take 80 months to pay yourself back)