Interest rates where's it been?

No one can accurately predict where the interest rates are going. But we can study where its been!
And in most cases, studying the past will give us a strong indication of where we're apt to be headed.
There is one thing for certain - change!

If we were to look at the rate for 200 years it would look like this:

This would tell us we are at or very near the bottom.
Drilling down a bit to look at the past 30 years

This to me says, we're coming off the bottom.

Looking at it in the 20 year view

These carts are provided courtesy of: 

Kristi Piatz Senior Mortgage Consultant | NMLS 452537

Bell Mortgage | A Division of Bell State Bank & Trust

Mobile 612.760.4199 |kpiatz@bellbanks.com 

Like our weather, it will change! Why Wait?

Check out homes for sale at http://Team-Jasper.com

Then contact me! Jeff@Team-Jasper.com or  612-756-8439

Home prices are on the climb!

Where we're at

The average sales price in MN went over the $200,000 threshold statewide. This is the highest average sales price Minnesota has seen in the last five years. An increase of 11.2% to $209,079 was the average.

The median sales price, which is the midway point of all houses sold, also showed a 13.0% increase over last year. A rise in the median price can indicate that sellers are responding to local market activity and feel confident asking more for their home. 2013 ended up with a median price of $170,000, again a five year high.


For more check out the Minnesota 2013 Housing in review


Where we've been

Where we're projected to go

Check out homes for sale at Team-Jasper.com 

Then contact me; Jeff@team-Jasper.com

Making a Home for a Good Night’s Sleep

A good night’s sleep is more important than you might think. While rising early and burning the midnight oil are worn like badges of honor in this “always on” culture of ours, the truth is that sleep is crucial.

Did you know...

Sleep loss can mean the decline of mental skills, including attention span, memory, mood, logical reasoning, and math skills.

Sleep deprived people have trouble recalling pleasant experiences, but can easily recall negative experiences.

Sleep improves your mood and in a recent study of professional violinists showed that a good night’s rest was more important than nutrition!

Sleeping on a decision measurably improves our ability to make better choices.

Fortunately, there are things we can do to improve the quality of our sleep. While a drink or two might put you to sleep, it can actually disrupt sleep later in the night. Other methods are much more effective. Exercise during the day, a cool shower at night (to lower body temperature), and turning the lights lower about 30 minutes before bedtime can help you sleep better. So put those glowing iPads and laptop screens away!

Of course, your home can have a dramatic impact on your ability to catch those elusive Zs. Ambient light, highway noise, or even nearby neighbors can cut into your ability to turn off your mind and start that all-important dreaming.

While this tends to be more of a problem for renters in apartment buildings and those in urban environments, even single-family home owners can find themselves in sleep-negative situations.

Don’t settle for a sleep-deprived life! If your living situation makes a good night’s sleep difficult, consider looking for a new place. Sleep is too important to ignore.

Need a nice, quiet house? I know where to find them Team-Jasper.com

Let’s have a chat today! Contact me: Jeff@Team-Jasper.com 

Procrastination ya gotta love it!

I'm a life long procrastinator but its costly!
Lets assume that housing prices remain flat for a year, which they won't!
And lets assume the interest rate climbs as projected, which it more than likely will!
Then in the case depicted below the cost of waiting for the same home would be 151.08 additional per month. or $1,812.96 per year or $54,388.80 over 30 years. That's just the additional amount because of procrastination! Contact me I can get you going! Jeff@team-Jasper.com

Graphic courtesy of KCM

Rent vs Buy

At today's interest rates, Minneapolis is a city where it's less expensive to buy than it would be to rent! Check out the below graph of the country as provided by Kristi Piatz of Bell Mortgage
It's a great time to get pre approved, contact me and lets go find that home.
Check them out at Team-Jasper.com or contact me at Jeff@team-Jasper.com

Will Your Loan Be Harder to Get in 2014?

In case you haven’t been following it, there are big changes on tap for the lending industry in 2014. The January 10th change may make it tougher for certain buyers to qualify for a loan, though the overall goal of the changes are aimed at long-term consumer protection and mortgage industry stability.

Below are highlights of the three rules most likely to impact buyers. A complete PDF guide explaining all of the changes may be downloaded at the Consumer Financial Protection Bureau (http://www.consumerfinance.gov/mortgage/).

1. The Ability-to-Repay Mandate sets a standard for “qualified mortgages.” Lenders will now be required to follow uniform guidelines to determine borrower eligibility. This looks at income, assets, and other debts / obligations. The mandate was designed by the Consumer Financial Protection Bureau to qualify each borrower.

2. FHA loan limits drop. The upper mortgage limit determined by the FHA (Federal Housing Administration) decreases from $729,750 to $625,000 in 2014. The rule means buyers in competitive urban and “hot” markets might need to secure a jumbo loan. Problematically, most jumbo loans will require a 20% down payment instead of the minimum 3.5% for non-jumbo loans.

3. Self-employed face additional scrutiny. Debt-to-income proof for those who work from home / are self-employed (Form 1099) will become more challenging, even with a great credit history and high net-worth. Typically, a borrower must have a debt-to-income ratio (including mortgage payment) of 43% or less.

The news isn’t all bad, though. New rules also cap points and fees at 3% of the loan’s amount (for loans above $100,000). They also generally prevent lenders from initiating a foreclosure until the borrower is 120 days delinquent. Additionally, foreclosure can’t begin if the lender is also working with a homeowner who has submitted an application for help. If you’re planning to apply for a mortgage, keep these rules in mind.

Are you ready to pre-qualify for a home loan? Let me connect you with a reputable mortgage professional today: 612-756-8439 or Jeff@Team-Jasper.com

Mortgage interest rates 2014/01/10

Of course mortgage interest rates are the life blood of the Real Estate industry.

The following is the rates as of Friday 1/10/2014

From a local leading lender.

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