Mortgage Rates Inch Downward Again

Freddie Mac’s Primary Mortgage Market Survey showed the 30-year fixed-rate mortgage (FRM) averaging 6.32%, with an average 0.6 point, for the week ending March 23, 2006, down from the prior week’s average of 6.34%. Last year at this time, the 30-year FRM averaged 6.01%.

The average for the 15-year FRM on Friday was 5.97%, with an average 0.6 point, down slightly from the previous week’s average of 5.98%. A year ago, the 15-year FRM averaged 5.56%.

“The most recent economic indicators released this week showed that inflation is, indeed, being held in check,” said Frank Nothaft, Freddie Mac vice president and chief economist. “That news allowed long-term mortgage rates to drift a little lower for the second week in a row.”

Meanwhile, existing home sales for February were unexpectedly high, but experts think that this may be due to an unseasonably warm January when those contracts were closed. Commercial real estate in Nashville has also been heating up lately! All of the new residents, companies relocating to the area, and temperate climate have caused retail to explode. Ask us how we can help!

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Mortgage Rates Inch Downward Again

Freddie Mac’s Primary Mortgage Market Survey showed the 30-year fixed-rate mortgage (FRM) averaging 6.32%, with an average 0.6 point, for the week ending March 23, 2006, down from the prior week’s average of 6.34%. Last year at this time, the 30-year FRM averaged 6.01%.

The average for the 15-year FRM on Friday was 5.97%, with an average 0.6 point, down slightly from the previous week’s average of 5.98%. A year ago, the 15-year FRM averaged 5.56%.

“The most recent economic indicators released this week showed that inflation is, indeed, being held in check,” said Frank Nothaft, Freddie Mac vice president and chief economist. “That news allowed long-term mortgage rates to drift a little lower for the second week in a row.”

Meanwhile, existing home sales for February were unexpectedly high, but experts think that this may be due to an unseasonably warm January when those contracts were closed. Commercial real estate in Nashville has also been heating up lately! All of the new residents, companies relocating to the area, and temperate climate have caused retail to explode. Ask us how we can help!

If you enjoyed this post, you might also enjoy:
12 Nashville Real Estate Predictions for 2009
Nashville Market Update
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Taking Nashville’s Real Estate Temperature

The spring real estate season is about to get underway, and anybody who expects to take part — as a seller or a buyer — needs to start putting together a strategy, an action plan.

But what a confusing time to try to figure out a strategy! The real estate market is sending very strange, mixed messages. On the one hand, inventories of unsold listings are up and sales are sagging in most states. In Massachusetts, for years one of the hottest states in the country for home value appreciation, sales were down 21% in January. Unsold inventories are billowing in Florida, California, Arizona, New York, Washington and other large markets as well.

Nationwide, according to the National Association of Realtors, the inventory of unsold houses on the market is at its highest level in seven years — more than a five-month supply. The number of unsold houses listed for sale has swollen to 2.8 million, up 580,000 in the last 12 months.

But, Nashville home sales are bucking any slow down. Last month, 2,610 residential properties changed hands in the Nashville area, up 11.6% from a year ago, according to figures from the Greater Nashville Association of Realtors. That comes on the heels of a 12% year-over-year increase in January.

The latest strong showing in sales came despite continuing signs of a U.S. housing market slowdown. Recently, mortgage giant Freddie Mac said its latest weekly survey showed rates on 30-year mortgages at their highest level since an average of 6.44% the week of Sept. 3, 2003.

Having just come from the TAR Spring Conference, I discovered the Nashville real estate community remains optimistic despite other statistics indicating that a slightly higher percentage of borrowers in the Tennessee are 90 days or more behind in mortgage payments or in foreclosure.

So, It still looks good for Middle Tennessee —But— I advise sellers, not to try to retire from the proceeds of their home sale. The more out of touch the price, the longer it will take to sell the house. If you’re a buyer, bargain hard. But don’t expect miracles just yet.

If you enjoyed this post, you might also like:
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Taking Nashville’s Real Estate Temperature

The spring real estate season is about to get underway, and anybody who expects to take part — as a seller or a buyer — needs to start putting together a strategy, an action plan.

But what a confusing time to try to figure out a strategy! The real estate market is sending very strange, mixed messages. On the one hand, inventories of unsold listings are up and sales are sagging in most states. In Massachusetts, for years one of the hottest states in the country for home value appreciation, sales were down 21% in January. Unsold inventories are billowing in Florida, California, Arizona, New York, Washington and other large markets as well.

Nationwide, according to the National Association of Realtors, the inventory of unsold houses on the market is at its highest level in seven years — more than a five-month supply. The number of unsold houses listed for sale has swollen to 2.8 million, up 580,000 in the last 12 months.

But, Nashville home sales are bucking any slow down. Last month, 2,610 residential properties changed hands in the Nashville area, up 11.6% from a year ago, according to figures from the Greater Nashville Association of Realtors. That comes on the heels of a 12% year-over-year increase in January.

The latest strong showing in sales came despite continuing signs of a U.S. housing market slowdown. Recently, mortgage giant Freddie Mac said its latest weekly survey showed rates on 30-year mortgages at their highest level since an average of 6.44% the week of Sept. 3, 2003.

Having just come from the TAR Spring Conference, I discovered the Nashville real estate community remains optimistic despite other statistics indicating that a slightly higher percentage of borrowers in the Tennessee are 90 days or more behind in mortgage payments or in foreclosure.

So, It still looks good for Middle Tennessee —But— I advise sellers, not to try to retire from the proceeds of their home sale. The more out of touch the price, the longer it will take to sell the house. If you’re a buyer, bargain hard. But don’t expect miracles just yet.

If you enjoyed this post, you might also like:
Developers of The Braxton Are Sued
Foreclosed Homes in Murfreesboro
The Current Real Estate Climate in Nashville

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