Changes in the Market

By dankeyes With

Ch, ch, Changes, yes a song by David Bowie but also applicable to the current market.  We have seen a spike in inventory along with a spike in Rates. Bernanke has not come out forcefully in favor of maintaining the $85 Billion/month bond purchases and this caused rates to jump up by more than 1% in rate in the matter of a few days.  What does this all mean:

 

1)      More inventory, longer turn times for sellers to sell their property

2)      More buyer choices, i.e they will have more time to decide on which property they want to buy and what they want to pay for it

3)      More fallout – we have seen a number of fall out of buyers in escrow who decided for one reason or another to pull out of escrow.  This phenomenon will unfortunately continue as the market tried to get a hold of how to move forward

 

 

As always I am available for your lending needs

 

Dan