LakeCountyHomePros Community Forum

The Federal Reserve cut its federal funds rate 1%,  The combination of lower home prices and low interest rates have increased real estate activity in our area. 

As I mentioned earlier, the high percentage of cash buyers is an early signal that home pricing is becoming attractive.  These are the same investors that sold at the peak of the market just a few years ago.  Cash buyers can snap up quality homes at competitive prices.

Actually, buyers who require a lender can also buy at wholesale prices if they are prepared to strike when the best deals hit the market.  It's not unusual to see quality properties sell for 20% below Fair Market Value in our area.

If you read the next paragraph you will see that buyers requiring financing are preparing to make their move.

Applications for home loans are on the rise. The Mortgage Bankers Association mortgage application index showed that mortgage applications jumped from an eight year low last week. The index jumped 16.8% to 476.7 in the week ending October 24.  The group's purchase index was up 8.5% to 303.1 while its refinancing index was up 28.5% to 1,489.4.

Sir John Templeton a well know Billionaire made most of his money after the great depression and the following recessions.  Here is a link to his biography  http://www.counterbalance.net/bio/johnt-body.html

I know there is a lot of fear out there right now and that is okay.  You can either crawl in a hole and or you can look at the situation and say what opportunities are out there for me and my customers. 

Have a great day!

Ray Levy

352-978-8551