Mortgage loans are still hard to get. I won't name names or give addresses here, but an escrow of mine just bombed. The buyer already owns a home and wants to downsize. He was in escrow on a smaller house and planned on renting out the house he currently owns and occupies. The underwriter didn't like that somebody who wasn't retired wanted to downsize without selling, and would only approve the purchase as investment property.
So what's the problem? Investment property requires a down payment of more than 20%. My buyer had 20%, but not more. And the interest rate was higher. Bye bye escrow. While my buyer is pretty philosophical, the people who are really hurt here are the sellers. They are not in good health and were counting on the sale proceeds for help.
Judy Graff's sublime-to-the-ridiculous (well, mostly ridiculous) take on real estate for east San Fernando Valley and North Los Angeles communities. This includes Hollywood Hills, Burbank, Studio City and Toluca Lake real estate and homes for sale, and also covers Valley Village, North Hollywood, Glendale, Atwater, Highland Park, Silverlake, Sherman Oaks and other L.A. areas too. General news and musings as well.
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