teamdavis' Blog: All Categories

The numbers are out and they confirm what those of us in the trenches already knew. One  thing positive is inventory is reduced substancially from last year at the same time. There are 882 single family homes and 271 townhomes on the market this year and last year at the same time there were 1306 single family homes and 309 townhomes. The number of listings are down 32.6%. This is good news. We need the inventory to be reduced to have prices go up. The most basic market rule is "supply and demand." Abundant supply with weak demand mean prices will fall. Short supply with strong demand will cause the opposite to occur.

Predominately because of short sales and foreclosures average prices are down by 20% over the same time last year.  Supply is down and with…

 In these trying times many  are confused about market terms and conditions. The majority of people are familiar with the emotion packed word, foreclosure. Foreclosure is simply speaking, when the bank takes the property for nonpayment of the mortgage. There are notices that must be placed in the newspaper and sometimes ugly evictions can occur. Of course, foreclosure negatively effects credit. Right now Fannie Mae will not entertain a mortgage for a prospective borrower until four years after a foreclosure has taken place. The person foreclosed upon must establish credit or maintain their other credit references, if they want to be eligible for a new mortgage in four years.

A "short sale" is different than a foreclosure in that there are no newspaper…

There is much uncertainty in the real estate market place today. Prices are down and inventory is up. Are things going to go down further? Should I wait until things bottom out? These are all valid questions and the uncertainty is pounded into our minds continually by the media.

Why should you buy now? Here are my top 10 reasons:

1. You need a place to live. Rents are escalating and landlords are getting greedy. Most will only accept a one year lease and are raising rents as soon as the lease period expires. Rent is not a tax deduction and your mortgage payment is deductable.

2. Your family's comfort and lifestyle is worth the investment even if you do not make $100,000 on your home in the first year.

3. If prices decline  interest rates will…

Charles County/Washington D.C. Area

During the last several years mortgage companies in general and mortgage loan officers in particular have capitalized on industry loop holes that existed at the time. In our area, Southern Maryland there were several companies that targeted people with questionable credit. Here's how the deal would work  A perspective customer would walk into a builders' model. They would be informed that they could purchase this beautiful home with no money down. The new home salesperson would put the prospective purchaser in touch with a mortgage loan officer. The purchaser would explain that their credit was not that great. "No problem", said the loan officer," we have a plan that will give us time to clean up your credit".

"We are…