Welcome to Charleston Real Estate Blog Sign in | Help

Charleston mortgage report July 8, 2009

Like they say, mortgage rates go up fast and come down slow but the good news is that rates have declined significantly in the last month and a recent quote from one of my preferred lenders indicates a 30 year fixed rate of 4.75%. Basically, lower mortgage rates increase affordability and with lots of inventory to choose from in the Charleston real estate market, not only can you buy advantageously but you can lock in a great rate on a 30 year loan.

Below is a chart of the 10 year US Treasury which is not the exact basis for setting mortgage rates, the mortgage backed securities market actually determines the rate but it's a lot easier to find a chart of the 10 year. And even better news, the rate on the 10 year is down by another .13 today as the Treasury auction sale was successful and sold for 3.365 so you might look for mortgage interest rates to be down even a little more in the coming days.

Anyone interested in house hunting for some Charleston real estate while rates are this great Yes

10 year US Treasury rates

Published Wednesday, July 08, 2009 12:46 PM by Howard Arnoff

Comments

# re: Charleston mortgage report July 8, 2009

If you can find me a deal like this, I am:

http://prcweb.charlestoncounty.org/mainAssessor.asp?parcelid=4601203176

or house in I'ON under 500k and 220/sqft (it looks like some of the lower end ones has hard time closing).

Now I feel for the neighbors...NOT

Friday, July 10, 2009 8:26 AM by Jimmy

# re: Charleston mortgage report July 8, 2009

Jimmy, I'on and Morris Square were both developed by Vince Graham but they are two very different communities. I'on is urban in suburbia while Morris Square is true urban. As to 9 Marbel, it was a short sale and an excellent buy.

In I'on, there are currently 12 homes available from $479k to $599k, not one is near $220 sf, overall average is $289 sf and average days on market is 149. There is no indication in the Charleston MLS that any of the homes are either foreclosures or short sales.

I would think that an offer on one of the homes that has been on the market a long time might be well received by the seller and you could get it much closer to where you want to be.

Friday, July 10, 2009 9:06 AM by Howard Arnoff

# re: Charleston mortgage report July 8, 2009

Howard, thank you for the reply.  I know none of the I'ON is listing near $220 sf, except 66 Ponsbury was sold very close to it ($233 sf I believe).  I think that's why 297 Shelmore is still not closing (I could be wrong on this one; I am monitoring).  There is a short-sell in I'ON few weeks ago (435k for a 1bd 1bath; it is off the MLS and is not sold.  I guess it is going back to the bank).  If I am the bank, I will not give anyone a loan above $233 sf in I'ON even with significant down-payment.  Is it true that the appraiser has to count the short- and REO sells into the comp to?

I got a year to look around, and if the stock market bite it again this 2nd half, just watch the price of house to follow!

Friday, July 10, 2009 9:55 AM by Jimmy

# re: Charleston mortgage report July 8, 2009

Jimmy, it would actually be better if you sent me an email to discuss some of this stuff instead of commenting on the blog.

But for now to answer your questions, yes, Ponsbury closed at $233 sf. Shelmore isn't closing because the 5/15 contract fell through on 6/12 and it is back on the market once again. btw, it has been on the market a whopping 720 days!

And for the little urban loft short sale, yes it was withdrawn and probably headed back to the bank.

As far as appraisers, they have to consider all sales including short sales and reo but they don't necessarily have to weigh them as heavily in analysis if there aren't an overwhelming number of them.

And banks will lend for more than $233 because there are other variables that go into value.

As to the stock market, I think there will be another leg down this fall, certainly not like last fall but down none the less.

Friday, July 10, 2009 10:48 AM by Howard Arnoff
New Comments to this post are disabled