If you are thinking of relocating or buying that second home at the beach, what are you waiting for?

With mortgage rates at record lows, home prices seemingly tailor made for buyers and motivated sellers looking to close before winter creeps in, now is the perfect time to purchase your new home.

Why not hit the beach this fall and make your summer dreams come true!!!

See you at the beach,

Lee Ann

30-year fixed Home Loan Rates are now at 5%. Below is a great article from Realtor.com with the highlights:

The 30-year fixed-rate mortgage inched above 5 percent this week, rising to its highest level since the last week in April 2010, and continuing its steady climb upward the last few weeks.

The 30-year rate averaged 5.05 percent this week, up from 4.81 percent the week prior, according to Freddie Mac’s weekly mortgage market survey. Last year at this time, 30-year rates averaged 4.97 percent.

Here’s how other rates fared for the week:

▪ 15-year fixed rates: averaging 4.29 percent this week, up from 4.08 percent last week.
▪ 5-year, adjustable-rate mortgage: averaging 3.92 percent this week, up slightly from 3.69 last week.
▪ 1-year, adjustable-rate mortgage: averaging 3.35 percent, up from 3.26 percent last week.

"Long-term bond yields jumped on positive economic data reports, which placed upward pressure on mortgage rates this week,” says Frank Nothaft, Freddie Mac’s chief economist.

Meanwhile, earlier this week, the Mortgage Bankers Association announced a drop in the number of people applying for a mortgage as rates continued to rise.

MBA’s overall mortgage application index dropped 5.5 percent from last week. The refinance index fell 7.7 purchase from last week, and refis made up two-thirds of the mortgage activity last week--the lowest share since May 2010.

Source: “30-Year Fixed-Rate Mortgage Rates Rise to 5.05 Percent, Highest Level Since April 2010,” Freddie Mac (Feb. 10, 2011) and “Fewer People Applied for a Mortgage Last Week as Rates Increased on Better Economic Data,” Associated Press (Feb. 9, 2011)"

What do you think about the rate increase?

Potential home buyers who delay have a lot to lose. First-time home buyer and move-up tax credits worth $8,000 and $6,500, respectively, expire April 30. Buyers who qualify get a dollar-for-dollar reduction in taxes or a cash payment if they don’t pay enough taxes to cover the credit. Other factors that should spur buyers: Low mortgage rates. If the Federal Reserve stops buying mortgage-backed securities at the end of March, 30-year rates will almost certainly rise to more than 6 percent. Rising prices. About 30 percent of markets are already experiencing price increases. Prices are falling in 12 percent of markets, says Fiserv (but that only helps if you want to live there). -Money Magazine (03/02/2010)

The Sussex County Delaware Association of Realtors (SCAOR) and the National Association of Realtors (NAR) are co-hosting two free workshops this month (March 2010) in Seaford and Georgetown Delaware for homeowners who are at risk for foreclosure. Get help before you walk away from your house or give your property back to the bank. There are other options for Sussex County residents but you must take action before your property goes to sheriff's sale. If you are behind in payments or struggling to pay high mortgage bills on a property or know someone who is going thru this, bring them along. All members of the public are invited to attend and light refreshments will be served. Saturday March 6th 2010 Workshop to be held at the NEW Seaford Public Library (in Ross Business Park) from 2 to 4 pm. Saturday March 13, 2010 Workshop to be held at Sussex County Association of Realtors (SCAOR) headquarters at the corner of Route 9 and Park Avenue (if you are going toward Georgetown from Lewes - it will be on your left and before you get to downtown Georgetown).