Realtor.com recently released their national housing forecast for 2017 that includes big news for the Raleigh-Cary and Durham-Chapel Hill real estate markets. According to the report, home prices and sales are expected to rise across the country next year by 3.9% and 1.9% respectively, although the Triangle Area is predicted to see some of the highest increases across all of the markets.

Raleigh in particular could see home prices rise 4.16% next year with an estimated growth of 7.6% in home sales, which could make them one of the 10 strongest real estate economies in the nation next year.

The report ranks Durham –Chapel Hill just a few spots behind Raleigh, with an expected increase of 2.55% in home prices and 8.95% in sales. So far this year,

So here we are again at the beginning of another spring market in the Durham/Chapel Hill area. The azalea's are in bloom, despite abnormally low temperatures, and things are looking beautiful. It's a great time to go out and start your home search, or is it?

Over the last few years the real estate market in our area has gotten tougher and tougher for buyers in Durham and Chapel Hill. We are seeing very little inventory and prices are going up up up. For example, in Orange County, year over year, the median sales price is up 34.8% and inventory is sitting at a 4 month supply, where 6 months is considered a balanced market. Durham county is up 17.1 % and inventory is sitting at a staggering low of 1.9 months of supply. So some buyers are asking

“Why do I need to get Pre-Approved?” is a question we get asked almost every day at My NC Homes when we speak with perspective home buyers. Some tell us "I went online and know I’m qualified". While that might be the case, it's important to understand the differences between Pre-Qualification and Pre-Approval when it comes to the mortgage process.

The Differences Between Pre-Qualification & Pre-Approval

Two often confused terms in the home buying process are a mortgage pre-qualification and a mortgage pre-approval. Even some loan officers and real estate agents will use the terms incorrectly or may not fully understand the difference between the two. If you are looking to buy a home in the Durham/Chapel Hill/Cary area it is critical that you get

Rent-to-own is never a good deal. It’s a lose-lose proposition for a buyer. In the 35 years that I’ve been in real estate, I’ve never met a single person who purchased a property in this fashion and had a positive outcome. While, in theory, it might sound like a reasonable idea for someone who is not yet in the position to buy a home and needs a year or two to build a good credit rating, in reality it simply does not work this way. These deals are usually predatory and designed to take advantage of tenants who have limited options due to their financial situation—and who will agree to unfavorable terms because they don’t know any better. In our experience, there are only two reasons why sellers pursue rent-to-own deals.

The Location is Unattractive

I don’t think ARM’s or Reverse mortgage indicate a housing bubble, unlike the this article suggests.

I believe ARM’s are an ideal mortgage product for a significant number of home buyers and reflect the reality of today’s work environment; namely that most 25-45 year old buyers will very likely be moving either as their financial, personal or employment status changes. This is referred to as “playing the odds”.

Statistically speaking there an almost 90% chance that most of my buyers will be moving within the first 5 or 7 years of buying their home, so why would they not want a lower fixed rate for the first 5 or 7 years of their mortgage? The media did an absolutely awful job of reporting the issues with the real estate collapse in 2008-09. The

Beginning on January 10, 2014 new mortgage rules become effective for home buyers. For the majority of home buyers I work with in

Chapel Hill, Durham, and Cary NC in general I don't foresee any major impact, as the mortgage lenders I routinely work with have beenusing the lending criteria that will now be required for qualified mortgages. (Qualified mortgages are those that can be sold on the secondary market which accounts for 90%? of all mortgages.) These changes as well as others coming later in the year are part of the Dodd-Frank Act.

According to the Consumer Financial Protection Bureau, under the Ability-to-Repay rule, lenders are to consider eight factors. These include your current income or assets, current employment status, credit history,

Mortgage Interest rates quoted for my clients buying a home in Durham this week are back to the low 4% range - something we haven't seen since last Spring. The Durham Real Estate Market is continuing to be one where the homes in the low $300,000 and $200,000 range are getting lots of activity.

For home buyers in Durham who are using a FHA or VA mortgage loan, mortgage interest rates that were quoted this week are in the 3.75% range, again, something we haven't seen the last 3 or 4 months. This is all really good news for those who are buying a home in Durham AND home SELLERS in the Durham, Chapel Hill, Cary real estate market.

Why do Sellers care about mortgage interest rates? For homes in the "First Time Home Buyer" price range - mortgage interest

Whether you are thinking of buying or selling a home in Durham, the current mortgage rates affect you. Why? Because a rise in interest rates will make it harder for buyers to afford your home!

With all of the talk about Ben Bernanke (Fed Chief) leaving the office, and the tapering of the Fed policy to buy mortgages by the end of the year - the Mortgage Bond Market is nervous.

Mortgage rates, previously at record lows, are consistently trending upwards. We've had over a 1.375% rise in mortgage rates since the beginning of June.

Don't get me wrong - mortgage interest rates are still remarkably low! Mortgage rates under 5%? That's a BARGAIN!

However, especially for homes in the "First Time Home Buyer" price range - mortgage interest rates are an

There isn't a week that goes by that I don't find myself sitting down and having a preliminary meeting with a would be home buyers in Durham, Chapel Hill or Cary. I generally enjoy these meetings, their low key and give both they and I a chance to meet one another and simply have a low key conversation about what it is their ideally looking for.

These initial meetings also give me the opportunity to explain the home buying process to them, give them samples of all the paperwork their going to encounter regardless of whether they decide to work with me or someone else, answer any questions they might have and in most instances get them started in getting pre-approved for a mortgage. This way they are in the strongest possible position when the time

One of the most common terms I see negotiated in contracts for a home in Durham today is for the seller to contribute money to the Buyer to cover all, or part of the Buyer’s Closing Costs. Seller paid closing costs can, with certain limits, be paid by the seller to the buyer without any problems…if you know the rules. Ignorance of the Underwriting Guidelines for the program and Bank that the Buyer is applying for a mortgage from, can turn a seller contribution of closing costs into a real problem!

It can be the difference between getting a loan – or getting denied! Yikes!

Seller contribution is really just another way of saying a part or all of the closing costs are paid by the seller. For example, a contract could read that the seller will