Monday, June 26, 2017

This is the house that I ALMOST closed on in Kansas City

Here's the Kansas City house that I was in contract to purchase for $125,000.  Isn't it cute? And in a nice neighborhood too! It had been (well, maybe not so much) totally rehabbed.  I was planning to rent it for $1250/month and have it managed by a local company.

I had it inspected and -- alas -- it didn't do so well.  There were minor issues that I could have either over-looked or had inexpensively repaired.  But the roof that I thought was brand new was really just patched, and there was a serious (and expensive to repair) water intrusion issue in the back of the house and the basement.  With a heavy heart, I cancelled the escrow.  I guess the takeaway is "buyer beware, even if you're a Realtor." I haven't given up on Kansas City, although this week I am looking in Memphis.

Monday, June 19, 2017

Never mind the Federal Reserve rate raise. Mortgage interest rates are WAY down today.

Interest rates for conforming loans (under $425k) just hit freakishly low rates.  You can get a 30-year fixed rate for about 3.875% interest today.  If you are brave enough for an ARM (ask me), they are even lower -- in the high 2%'s.

And jumbo mortgage interest rates -- up to $725k -- are even lower still.  You can get a 30-year fixed today for 3.75%.

Yes, I know it seems like there is nothing to buy, and lots of competition for what is out there.  But don't give up while the rates are this low...