Some Excellent Values In Homes Meridian Idaho Offers
The recent change in classification of the Treasure Valley by Fannie Mae and Freddie Mac will have a huge effect on the real estate market here in Meridian. There are a few other changes that will also have a positive effect, but first the change in classification.
Freddie and Fanny both recently took Meridian off of the "depreciating" market category which will have some very significant impacts on the types of financing available to Meridian area buyers.
Since this substantial change has occurred, it will usher in the return of 100% financing options for home owners and buyers, since prior to this point the most the typical home buyer would be able to get would be around 90%. When the Meridian real estate market was labeled as a declining market, the most any buyer could get financed was about 90% because many lenders require mortgage insurance and insurers will not bet on a declining market. Who would, can’t blame them.
Since people will now be able to get help with their down payments and even purchase without any equity or money down from themselves, buyers will start to buy the REO’s and other good deals out there now, especially around Meridian.
Meridian Idaho Homes Some Of The Most Stable In The Treasure valley!
Meridian has been the darling of the local real estate market due to the newness of the majority of the construction in the area, good schools, lower crime rates and good public service districts. When you mix in the fact that home values have been at recent lows you can bet that the extra inventory on the Meridian market right now will not last long at all.
The benefits do not stop with home buyers, rather they extend all the way to homeowners as they are eligible for drastic savings on their refinances, which may have been completely impossible prior to this change. Any fact that substantial is worthy of repetition. Now Meridian property owners who were seeking loan modifications can get approved much easier for a refinance loan after these changes start to get the local mortgage industry on track.
This effect this may have on the Meridian real estate market will be that inventory may be stalled a bit by homeowners who have started to see the light at the end of the tunnel.
Another factor that will be effecting the property in Meridian Idaho is that banks have been working on passing, and are very near to accomplishing it, a piece of legislation that will allow them to "sell" their REO properties to holding companies under their own corporate umbrella.
What this means is that the REO inventory that was previously flooding the market will now be slowly releases as the market can absorb it. The banks can begin to offset some of their losses by renting out their REO inventory and keep affordable housing for renters as these houses must be rented at a discount. The added effect is to help the renter out with cheaper rent but they also have to agree to show it if necessary.
Investors and private party renters may feel like this is not a great deal for them, as they will have a hard time renting their rentals due to the lack of ability to offer a rental discount themselves. Since this bit of legislation was intended to interrupt the inventory hitting the market, it will be effective and provide a nice boost to the real estate market to save home values.
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