Brian Leavitt, REALTOR®

HARP Here we come

The latest news on the new Home Affordable Refinance Program, HARP, is that Federal regulators have recently made key changes that will help borrowers who owe more on their loans than their homes are worth. Every week I receive inquiries from home owners who are current on their mortgages but can't refinance because their loan balances are higher than the value of their homes. The new HARP guidelines will help many homeowners reduce their interest rate. Based on today's rates this would be at or below the 4% range for a 30 year fixed loan.

There are two options with the new HARP changes. Timing is critical on both options and require clear understanding of your home's value. I am uniquely positioned as both a real estate broker and mortgage broker to assist you with this.

OPTION 1: Applications taken from December 1^st 2011 to February 29^th 2012 (yes, an extra day for us for leap year) are eligible for a loan to value (LTV) up to 125%. Appraisals will be necessary during this time period to determine the LTV. Unlimited combined loan to value ratios (CLTV) are acceptable. The combined loan to value ratio is the combination of your first mortgage and second mortgage or home equity lines (HELOC).

OPTION 2: Applications taken on or after March 1^st 2012 are eligible for unlimited LTV and CLTV and this is where those most highly impacted by declining values will get relief. There has been no specific announcement if appraisals will be required but I think not since the plan is to allow unlimited LTV.

The following conditions will apply to both options:

1. Current 1^st mortgages must have closed prior to May of 2009.
2. The loan cannot have mortgage insurance.
3. Loans must be owned by Fannie Mae or Freddie Mac. Call or email and I can research this for you.
4. Primary, Second Home, investment, and condos all qualify.
5. Second mortgages can be subordinated with no maximum CLTV.
6. You must have a qualifying credit score of 640 or more with no credit lates in the past 12 months.
7. You will still have to qualify based upon income but the good news (better news?) is that with a significant decrease in interest rate your payments should go down.

Mortgage lenders are going to be swamped with applications on this program so right now is the time to get ready. Since applications must be dated no sooner than December 1, 2011 we can have everything ready to go so that we can submit the application as early as possible. For some of you it will be necessary to wait until March 1^st 2012 but the anticipated rush will be even greater.

This is by far the best opportunity "underwater" home owners have had during the course of the recession.

If you are a home owner finding yourself in this position my advice is that we review your situation to determine if you are eligible and if it is best to proceed on December 1^st or wait until March 1^st.

Call or email me today! I will answer your questions and run the numbers to determine just how much money you can save each month!

Brian Leavitt

Designated Broker

Northstone Mortgage

MB 114722

MLO 114864

 

Home Sales Report for the Eastside and King County - October 2011

October 2011 Homes Sales Report for King County & Cities of Bellevue, Redmond, Kirkland, Issaquah and Sammamish. In October of 2011 King County closed sales were up 16.61% from October 2010 (1,853 vs 1,589) . The Eastside showed some very strong numbers as well with closed sales. Closed sales were up 13.29% (588 vs 519) The median home price in King County in October was $287,500 down 17.86%. The Eastside Median Sales price was down just 10.75% to $415,000. For the sixth straight month, pending sales across King County moved up 16.61%, while pending sales on the Eastside were up 13.29%. In addition I am noticing quite a bit of potential in the market. We are still seeing inventory numbers decline. In October total active listings were down 26.54% in King County and down 25.01% on the Eastside from October of 2010. See the raw numbers from the Northwest Multiple Listing Service. Also take a look at the housing numbers for Sammamish and Redmond. In Kirkland the Market Action Index(a gauge of market activity) remains strong. While it's still a buyers market, it is much more balanced. With interest rates in the LOW 4's buyers affordability is at an all time high. Check out the National Picture from Realtor.com

Here is a breakdown of real estate homes sales in Seattle Eastside Communities of Bellevue, Kirkland, Redmond, Issaquah and Sammamish, Washington for the week broken down by neighborhood. Just click on the link to your neighborhood for the complete breakdown of the homes that are on The chart below breaks down Seattle Washington's Greater Eastside Real Estate homes sales by City, for the week of 11/15/2011.

City	# of Active Listings
Homes For Sale in Bellevue, Washington	447
Homes For Sale in Issaquah, Washington	243
Homes For Sale in Kirkland, Washington	336
Homes For Sale in Redmond, Washington	357
Homes For Sale in Sammamish, Washington	324

To find out what your home is worth or If you are interested in selling your home for top dollar in the quickest amount of time, please contact me anytime at 206-818-8816 or Click here to send me an e-mail requesting further information.

Color influences thought

The Pantone Color Institute researches how color influences thought, emotions and physical reactions. Some of their recent recommendations for interior decoration are:

Yellow: When the eye takes in yellow, it releases serotonin, a neurotransmitter linked to feeling good. The institute recommends a soft chamois, butterscotch or honey yellow for a living
room, entry or foyer. It will boost moods.

Blue: They say when the blue sky is above you, it's hard to be anxious. Studies show that blue makes the heart rate slow, perspiration drop, and breathing deepen. Pantone recommends it for
bathrooms and for any room where you want to relax.

Brown: It has emerged as a rich mocha linked to the flavors of coffee and chocolate. People love their wood floors and furniture. Brown is associated with stability of the earth. In
bedrooms, it increases sleep-inducing sensations of safety and comfort, whether
it's on a wall, in furniture or bedspreads.

Red: It has an aggressive nature, commanding attention and demanding action. It may introduce a fight-or-flight reaction including elevated breath and pulse rate and an increase in adrenaline
and perspiration.

Black: To
banish sadness, limit the black and dark grays in your life. Leave pure white
on the ceilings.

In preparing a home for sale, color is among many of the considerations. Take a look at stagedhomes.com for an in depth look at the benefits and many of the techniques of home staging. Barb Schwarz is the leading authority on staging and she is a local talent.

Realty Times - Real Estate Outlook: Pending Sales Decline

One of the most frustrating things I am seeing in the market right now is the difficulty in obtaining jumbo financing. With loan limits decreased to $506,000 in King County many home buyers as well as people wanting to refinance to today's low rates are struggling.

Why the declines at all? "America’s monetary policy is contradictory and confusing, where some consumers with the best financial capacity and top-notch credit scores pay higher mortgage interest rates,” Yun said. “The Federal Reserve evidently has been attempting to lower mortgage rates, yet more consumers are faced with taking out jumbo loans that carry higher interest rates.”

Yun noted the need for higher loan limits.

via realtytimes.com