Follow up to Zillow and Zestimates

It gets better.  I just received this from Zillow via email in the updated Zestimate on the house I just sold in April 2013.  Even when they have the answers to the test they fail.

Home Report
1112 W Durwood Cres, Richmond, VA 23229
Sold on 04/16/2013: $359K
4 beds | 2.0 baths | 2,020 sqft

Zestimate ® $309,126 (+$8.2K / +2.7%)
Rent Zestimate ® $1,664/mo (-$71/mo / -4.5%)

Click for full details.

If you are a buyer or seller please don’t reply on Zillow.
If you are a REALTOR stop liking Zillow on Facebook.


Home prices up sharp- Int rates stay low

Mortgage rates held at record lows this week as fresh data showed home prices in the nation’s largest cities rose sharply from May to June. In other industry related news, 25% of banks reported tightening lending standards for would-be mortgage holders in the last few months. In order to avoid hiccups and closing delays, prospective buyers should submit all their documentation to a reputable and experienced lender well in advance of beginning their home search.

Please note we have special rates for our purchase customers, please call for rates on refinances.

Here are our weekend rates for purchase loans for borrowers with credit scores over 740 and at least 20% down:

Conf 30 year fixed to $417,000: 3.5%
Conf 30 year fixed ($417,000-$535,900): 3.5%

FHA 30 year fixed: 3.25%

FHA 5/1 ARM: 2.25%

Jumbo 30 year fixed ($528,750+): 3.75%

All rates except FHA reflect 1 origination, 0 discount points. Please note rates do vary by credit score, loan amount, rate lock period, occupancy and loan to value.

Emily Scarborough
Prosperity mortgage

When is a good time to close

Mortgage Myth #1: It is best to close my transaction at the end of the month.
Mortgage Realty # 1: Save Your clients time and money with an interest credit!

Many agents & buyers believe it is best to settle at the end of the month in order to save money on pre paid interest.

As you know, the lender charges interest at closing from the day you close until the end of the month. Because of this, the later in the month you close, the less money you would come out of pocket with.

However, at Prosperity Mortgage, we offer the buyer an interest credit if they settle earlier in the month. This will allow the buyer to bring LESS cash to close and not have to worry about squeezing in between 10 other settlements on the last day of the month. It will allow agents to avoid the last minute delays and backlogs that are sometimes associated with end of month lender clogged pipelines and allow you to offer an extraordinary customer experience every time. Here’s how it works:

Settlement Date: 7/3/2012

Most lenders will collect 29 days of interest at closing through 7/31/2012 with the First Mortgage payment being due 9/1/2012.

Prosperity Mortgage customers can choose a first payment on 8/1/2012 and actually receive a credit for 2 days of interest (July 1st and 2nd) at closing. This enables the customer to come out of pocket with less money spreading these costs out over the first month of home ownership rather than upfront. This can be a life saver for cash strapped clients or those not wanting to deal with an end of month closing.

Prosperity can offer an interest credit on conventional loans if the loan funds on or before the 10th of the month. Talk to your Prosperity Mortgage Consultant for more details.

Virginia home sales surge ahead (+9%) in February 2012
Posted: 23 Mar 2012 07:11 AM PDT\







In another sign of potential stabilization of the housing market in Virginia, home sales rose 8.6% in February 2012 as compared to one year prior.  This strong increase is after a 2.7% year-over-year increase in January 2012.  Virginia’s unemployment rate of 5.8% in January is the lowest level seen since December 2008 and provides a strong climate for growth in the housing market.

Download the full February 2012 Virginia Home Sales Report below which also highlights:

  • Monthly median sales prices only declined 0.9% in the past year.
  • Monthly sales volume increased 8.4% between February 2011 and February 2012.
  • Average days on market stayed level at 105 days in February 2012.

February 2012 Virgina Home Sales Report


Mortgage Rates hold near record lows….Sales of homes are up

Mortgage rates  held near record lows this week, with Freddie Mac reporting the average 30 year fixed rate at 4.0%. Rates have been below 5 percent for all but two weeks in the past year. Just five years ago they were closer to 6.5 percent. Ten years ago, they were above 8 percent.

Here are current rates for purchase loans on single-family homes greater than $150,000 with 20% down and 740+ credit scores . Please call for rates on refinances.

Conf 30 year fixed to $417,000: 4.0%
Conf 15 year fixed: 3.25%
Conf 30 year fixed ($417,000-$535,900):  4.0%
FHA 30 year fixed:  3.75%
FHA 5/1 ARM:  2.75%
Jumbo 30 year fixed ($528,750+): 4.25%

All rates reflect 1 origination, 0 discount points. Please note rates do vary by credit score, loan amount, rate lock period, occupancy and loan to value.

Renters Spending 5% More Than Home Owners

Renters Spending 5% More Than Home Owners.

Rising rents are forcing renters to outspend home owners on housing costs, according to a new study.

Since 2005, home owners’ housing expenses have climbed from 31.9 percent of their household budget to 33.2 percent. On the other hand, in that same time period, renters’ expenses have jumped from 35.6 percent to 38.4 percent, according to the October CoreLogic U.S. Housing and Mortgage Trends.

In the last 26 years, home owners have increased the amount they spend on household expenses by 12 percent while renters have increased it by 22 percent, according to the study.

Earlier this month, Capital Economics economists noted that for the first time in 30 years the median monthly mortgage payment is about the same — or less — than the median rental payment.

Yet, with the bleak job market, home ownership rates continue to fall in many parts of the country, particularly among younger generations. CoreLogic found in its report that the home ownership rate for the 25-to-34 age group dropped from 51.6 percent in 1980 to 42 percent in 2010. For the 35-to-44 age group, home ownership rates fell from 71.2 percent to 62.3 percent over that period.

Source: “Renters Outspend Owners on Housing,” RISMedia (Oct. 25, 2011) and Capital Economics

Read More:

Bargains Abound: What Are Buyers Waiting for?


Residential home sales in VA increased significantly during the 3rd Q 2011 compared to 2010







Virginia Home Sales Report 3rd Q 2011     click for the full report



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