Local Town Pages www.millismedwaynews.com
Page 22
February 1. 2011
home M A R K E T P L A C E MEDWAY / MILLIS REAL ESTATE TRANSACTIONS ADDRESS
PRICE
BUYER
14 Sanford St #5 10 Awl St 165 Holliston St 3 Winchester Rd 14 Sanford St #58 140 Lovering St 246 Plain St #A 61 Van Kleeck Rd 37 Forest Rd 14 Walnut St 1 Pondview #1
190,000 158,000 252,300 480,000 210,000 340,000 375,000 302,000 352,500 270,000 193,500
Coulter, Kevin F Mcintyre, Nancy R Monego, Peter R Ramos, Paul Oja, Irene C Allen, John L Mullen, John T Lane, William Pappas, Georgios Dellarocca, Paul J FHLM
SELLER Finkel, Micah Flaherty, Michael E Blaisdell, Leonard L Miller, Michael T Johnston FT Wroten, Christopher F Hanlon, Timothy J Ramos, Paul M Village Street Constr Inc Kamilar, Gregg M Marchese, Edward J
A Mortgage You Can Count On From The Bank You Can Bank On.
The Impact of Interest Rates Some potential homebuyers are sitting on the sidelines waiting for housing prices to hit bottom. It makes sense to buy a house at the lowest price possible but there are other critical considerations to keep in mind. Trying to time the bottom of any market is always difficult. Also, interest rates are at historic lows, and many homebuyers fail to consider the savings that come with low interest rates, particularly over the life of the loan, or even the partial life of the loan. Mortgage rates are low because of the recession and foreclosures. In addition, the Federal Reserve has moved aggressively to push down mortgage rates by buying as much as $1.75 trillion of housing debt and Treasuries this year. This policy has been successful. Rates on 15-year and 30year fixed-rate mortgages are hovering at historic lows. What does this mean for you? On a 30-year fixed-rate loan amount of $200,000 at 5%, the interest paid over the life of the loan is $186,512. That brings the total loan payments to $386,512. At 6%, the amount of interest paid rises to $231,676, a 24% increase. At 7%, it’s $279,018, a 49% increase. The lesson here: Keep in mind, what might be gained from a further drop in housing prices could easily be
lost by a rise in interest rates. With regards to the market, let’s review some recent indicators. Pending home sales, a forward-looking indicator based on signed contracts, rose 6.7% in April, the biggest monthly jump since October 2001. Existing home sales rose 2.4% in May with some homes, once again, receiving multiple offers. And the most recent Standard & Poor’s/Case-Shiller 20-city housing price index shows the month-to-month decline in housing prices has stalled from 2.8% in January to February, 2.2% in February to March and 0.6% in March to April. This has led many industry experts to anticipate that soon the decline in housing prices will bottom out. If you have a house in mind and the savings for a down payment, this might be a great opportunity to purchase a home. If you would like any further information about purchasing a home now, give me a call today. We can also get you preapproved, which will provide you an advantageous bargaining position. For more information or to contact Eric Douglas directly, call (617) 785.3727 or email eric.douglas@prospectmtg.com.
70 Main Street t Medway t 508.533.8661 2 South Maple Street t Bellingham t 508.966.2857 1 Hastings Street t Mendon t 508.422.9792 www.charlesriverbank.com Equal Housing Lender
Member FDIC Member SIF
LYNN GREEN 508-965-8799 82 Holliston Street, Medway, MA 02053