Keeping you up to date on the real estate market in Northern Virginia. Demand is HIGH, supply is LOW. Hear what Scott has to say…now is the time to….
Contact Scott MacDonald 702-652-5777 Broker/Owner of RE/MAX Gateway for more information and a personal assessment to meet your goals.
For most of us, the idea of paying off our mortgage well in advance is elating. But before you make this big move, it’s important to understand prepayment penalties, and what they could mean for you.
Simply put, a prepayment penalty means you will have to pay the lender a percentage of the principal, or some other stated amount, if you decide to repay the loan early. While this may seem wild (being charged for making your payment early!?), it’s actually quite common.
Some mortgages have prepayment penalties written into them. However, the prepayment clause is usually in effect for only one to three years and may be waived for special circumstances. Lenders impose the penalty to recover any losses related to your early payment.
If you are in the market for a home loan, ask about prepayment penalties before signing on. If you are applying for a new loan, the penalty should be disclosed in the truth-in-lending statement. Read the fine print and weigh all your options.
If you already have a home loan, call your lender or dig through your paperwork to spot any prepayment penalty clauses you may have missed.
As a Member of the Top 5 in Real Estate Network®, I have a wealth of real estate and home ownership information that may be of help to you. Feel free to contact me any time to learn more about this important information, and be sure to forward this article on to any friends or family that may be interested as well.
Did you miss last week’s market minute video? Check out my thoughts about the state of current inventory levels….
Contact Scott MacDonald 702-652-5777 Broker/Owner of RE/MAX Gateway for more information and a personal assessment to meet your goals.
It is truly hard to believe that a new year is upon us; welcome to 2017! It seems that the years fly by faster as we get older. This is an exciting time in so many respects, so it would be nice to be able to enjoy these great times longer.
Anyway, it appears as if we will have an exceptional year here in the Northern Virginia real estate market. Consumer confidence is at a 13-year high which typically bodes well for housing. Additionally, though the mortgage interest rates have risen slightly since the election, we still have many buyers out in the market looking for and in many cases buying homes today. Online activity as well as calls from our great clients like you have picked up recently. Also, all indications point to the continuation of high paying jobs here in Northern Virginia. Dr. Stephen Fuller of George Mason University’s Center for Regional Analysis shared with us that employment in the Professional and Business services along with Retail Trade and Health/Education will all continue to grow into 2017. He predicts that 2017 will be “the year” of the decade for housing in Northern Virginia.
There is just one caveat … we need houses to sell! Inventory levels on active resales was down to just over 4,100 homes in all of Northern Virginia this past week. We haven’t had this few homes on the market since the first week of February in 2012, when it was barely over 3,900 houses. In speaking with other agents, we will have homes coming up for sale in February, but there is an appetite for houses today! So, it is not a bad idea to put your home on the market sooner than later if you are thinking about it and if your home is in the right condition to sell. The belief is that we will continue to have a demand for houses throughout the year, so if you are considering making a move in 2017, please let me know, we are here to help!
I hope you have a joyful and prosperous 2017! And please remember we are always here to help you and anyone you know with their real estate needs.
The real estate market continues to be hot – just like the weather.
Inventory levels remain below 7,800 active properties for sale in Northern Virginia. Last year at this time we had over 9,550 – quite a difference. There is pent up demand but we are lacking “really good” inventory. We have buyers that would move up if they found something suitable in a higher price points but nothing seems to be coming on to help with this situation. So here are a few quick stats on the overall market:
Now, just like the weather, things can be a little sticky…if properties get priced too high, they are sitting on the market. They are getting lookers, just no offers which at times has led to frustration for our sellers. It is important to keep in mind proper pricing today is still critical. To learn more about how we can help you with selling your home, feel free to call me.
The big news recently has been Brexit and how it will affect us in the United States. Well, virtually immediately, interest rates on mortgages dropped to three year lows. The good news is they are expected to stay this way for a while. There is speculation that International investors may sell off their holdings in the UK and invest in the US which could be good news for cities like Washington, DC, New York, Chicago and Los Angeles – let’s keep an eye out for this movement. The overall sentiment is we may not see its full impact for years but in the short term it will be good for the US housing market.
As always, we are here to help with any questions you may have regarding the Northern Virginia real estate market and have a safe, fun and enjoyable July 4th celebration.
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Scott MacDonald’s Northern Virginia real estate housing market trends, local statistics and how this can impact your buying or selling a home click to play video
Contact Scott MacDonald 702-652-5777 Broker for RE/MAX Gateway for more information and a personal assessment to meet your goals.
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Very Low Inventory + Lots of Buyers = Good News for Sellers! click to play
Thinking about selling your home? Contact Scott MacDonald 702-652-5777 for more information and a personal assessment to meet your real estate goals.
Now is a great time to buy and sell a home in Northern Virginia!
RE/MAX Gateway
We continue to have great optimism about home sales in 2016 despite the storm of the century just a few short weeks ago. We are experiencing a mild winter and agents are building momentum into the spring market making this a great time to buy or sell a home. 
Interest rates are phenomenal despite the Federal Reserve raising their rates.
Inventory levels are below last year’s level year-to-date and the great news is, sales are up. We have pent up demand for housing in Northern Virginia which can be seen when visiting open houses on weekends and our listings are getting great activity throughout the week. Today’s buyers are serious and are taking action on homes that are staged well, in condition and priced right. In many cases, we are seeing multiple contracts.
In looking back at 2015, through November, sales of both new and existing homes had increased over the previous year. According to a recent release from the Department of Commerce, new home sales in 2015 came in at 490,000—the best numbers since August of 2015. We expect these numbers to increase throughout 2016 as well. Builders have expressed multiple times they are optimistic as well.
Basic information on the economy shows us that unemployment is at a 7-year low, wages are 5% higher than a year ago, and home prices continue – moderately. Let’s hope this trend continues as we definitely need higher paying jobs in our area.
One area of potential concern today is in the refinance boom of 2005-2007. During this time, many borrowers took out 10-year mortgages that were interest only and their reset dates are now coming into maturity. This means their loan balance is now amortized over 20 years for the last 20 years of the loan increasing their monthly payments significantly. Add to this potential issue is many of the homes used to collateralize these loans have not gotten back to the value of where they were making it difficult to refinance again. This could result in short sales and foreclosures. Let’s pay attention to how this plays out.
As you know, if you have any questions or concerns, you can call, text or email me anytime. We are here to help you.
Happy Valentine’s Day!
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Scott MacDonald video update about the local housing market statistics and the impact on buying and selling a home in Northern Virginia – even with Winter Storm Jonas and the possibility of Snowmageddon 2016! click to play video
Now is a great time to buy and sell a house!
Contact Scott MacDonald 702-652-5777 Broker for RE/MAX Gateway for more information and a personal assessment of your housing goals.
RE/MAX Gateway
Wow, 2015 flew by in a blink of an eye and I am sure 2016 will as well. As 
I mentioned in my previous market updates, we pretty much enjoyed a stable market for housing in 2015. I expect things to pick up in 2016 because of all the recent activity. Many of our agents have been working through the holidays with clients and I too have been meeting with both buyers and sellers looking to make moves in 2016 – more so than any other recent December. So buckle up, the market will be moving forward in a positive direction.
A few areas in the mortgage arena for us to keep our eyes on are rising interest rates and loan products. Now that the Fed has raised their rate, mortgage interest rates are now just above 4%. Still great, don’t get me wrong, but they are just a tad higher than where they have been most of 2015. The other interesting thing to watch with mortgages are the new programs coming into the market. Fannie Mae now has a low down payment loan to compete with FHA loans. These loans compete because the down payment can be a gift so buyers don’t need to have their own money saved for the down payment. Additionally, I have read there are potentially no down payment loans coming back into the market soon. These two loan products could help Millennial buyers enter the market sooner as they have not been able to save for their down payments due to high rents, student loan debt and lower paying jobs. This is important because Millenials will be the largest home buying demographic once they can afford to buy.
Something else to watch is as sales continue to rise, prices too will follow – hopefully at a sustainable rate and not like the San Francisco market or our market from 2002-2006. Home ownership is extremely important to wealth building and consistent growth in prices help this happen for many people. We don’t need an escalating housing price market like we had in the past, as no one wins in the end. I would expect a 3-5% increase in housing overall in Northern Virginia. Some areas will see more, others less, so please ask me about your home’s value if you are interested.
As always, if you or someone you know is looking to buy or sell a home, I am here to help so please feel free to call me. Here is to making 2016 one of your best years ever! Happy New Year!
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