Sponsored Brief: A Win, Win, Win mortgage strategy
Last updated 11/15/2018 at Noon
What a difference a few months make. Our local housing market has had a noticeable shift since May to more of a balanced market. Higher mortgage rates and increased housing inventory are two of the factors driving our current market. Price reductions are becoming more common.
I’ve been reaching out to my realtor partners about a possible alternate strategy to a price reduction when selling a home, that is a win for the seller, the homebuyer, and the neighborhood. The strategy is, instead of recommending to the seller that they need to reduce their sales price substantially, why not offer the potential buyer 2 points to help them permanently buy down their interest rate.
The number analysis works out in both the seller’s and buyer’s favor in most cases.
The seller is happy because in most cases it’s less costly to give a 2-point seller concession than taking a major price reduction.
The buyer is happy because they are able to permanently buy down their interest rate into the mid-4% range, substantially reducing their monthly mortgage payment, also helping them qualify for more.
The neighbors are happy because you’ve helped maintain their values.
It’s a Win, Win, Win!
For a free/no obligation analysis of your situation, please call/email.
Ed Dorame, Senior Loan Consultant, NMLS ID 57774, 206-510-2118. Edward.firstname.lastname@example.org