In St. Louis and dream of a new home in 2017?

Stop dreaming, take action, and make it happen, St. Louis!  If contemplating a move in 2017, the time to prepare is now as Spring is just around the corner. I am currently meeting with Buyers and Sellers to create a "plan of attack" for the swift Spring selling market in St. Louis.

2016 was a terrific market for both Buyers and Sellers in St. Louis.  Experts project an even stronger market for 2017 as value continues to steadily increase, the job market remains healthy, and interest rates remain historically low. 

I have over 15 years experience of selling residential real estate in St. Louis and wear my past clients' testimonials like a badge of honor.  Let's connect and make your dreams a reality. To get the process started, call me at 314.298.5275 or email me at cnenonen@cbgundaker.com. 

Learn more about me HERE.  Read about my professional accomplishments and see what my clients have to say about me HERE.

The 2016 St. Louis Real Estate Market Thus Far

The ultimate ‪‎St. Louis‬ real estate expert is Jim Dohr, the President of my company- Coldwell Banker Gundaker. His summary of 2016 thus far is spot on...

Low rates + low inventory= a fast and furious Spring market favorable for both Buyers and Sellers!

In St. Louis and contemplating a move?  I would love to help you find your dream home!  Learn more about me HERE. See what my clients have to say about me HERE or on LinkedIn.

Interest rates matter- be informed!

The real estate industry touts "historically low rates" but what does that mean to the average consumer at face value? Not much. Thanks to my friend and Senior Loan Officer, Andy House, for the incredible graph above to help put the current rates into perspective.

Interest rates matter.  They matter a LOT and directly affect not only Buyers, but homeowners who wish to refinance.  

Most Buyers are payment-driven. They know how much they can afford to pay each month even before they obtain an official pre approval.  

FOR EXAMPLE:  Let's assume that you are comfortable with a $1,250 interest payment...

Your housing affordability DROPS with each increase in the mortgage interest rate. 

Per above,  if mortgage rates rose up just 1% from 3.75% to 4.75%, you would lose a whopping $33,750, or 11.25% of your purchasing power. If rates rose 2% to 5.75%, you would lose $62,003 or 20.67% of your purchasing power. That is serious money, people!

In short: the lower the interest rate, the more house you can afford for the SAME PAYMENT. Rates directly impact your affordability, Buyers. Don't let these great ones slip by as 3rd quarter increases are projected.

If you are contemplating a purchase over the next few months, I highly recommend getting a loan preapproval now. It is the first step of the buying process, and rates are still comfortably hovering below 4%.   

Learn more about Andy House HERE and feel free to contact him directly for a free approval or mortgage advice. He is stellar, my clients love him, and I trust him emphatically after years of wonderful service to myself and my clients.

2015 Real Estate Tip: Watch the rates!

Lower interest rates equal higher affordability, plain and simple. Experts predict a raise in rates by mid-2015, the 1st increase by the Federal Reserve since 2006.

Rates have been historically low for almost a decade, though I urge people not to take them for granted per below...

While home loans are predicted to remain below a super healthy 5%, this could drastically affect those who soon plan to purchase a car or who currently hold credit card balances.

Knowledge is power, folks. Financially plan your 2015 accordingly!

Read more here: http://goo.gl/AdKMch

Refinance- a Realtor's Opinion & 5 Things Preventing You From Getting a Mortgage Refinance

Rates are still record low.  I have had numerous inquiries from friends and past clients in 2013 about the current condition of the lending industry and whether a refinance is possible or even worth the hassle.  A common misconception among those folks NOT in an industry that deals directly with lending institutions is that the system is broken.  That is so FAR from the case!

Money is flowing, the market is moving swiftly, and people are CASHING IN on the low interest rates.  That being said, WHO you choose to work with and your current financial status dramatically influences how successful you will be in the pursuit of a lower interest rate! 

There are many factors to consider: will the property appraise, do you have equity, due to lower value will you be forced to pay PMI, will you be in the property long enough OR is the rate LOW enough from your current rate to actually offset the closing costs.

My Best Advice: Please contact a Realtor before you begin the refi process and have all of your "ducks in a row" when you apply. First things first- what is your property worth?  A Realtor can provide you with concrete data.   At least in St. Louis, we can easily access your private and extensive tax records including your mortgage information.  Paired with your full neighborhood sales data, including which sales within your radius were distressed or foreclosures, an approximate amount of property equity is easily determined. THIS STEP IS VITAL to ensure whether an attempt at refi is "worth it" and most reputable agents do not mind assisting their friends, family, and clients with this information. 

My lender stories over the past 3 years is an entirely different blog post. Frankly, there are 2-3 banks that I will STRONGLY urge my clients not to use- and yes, they are names that you will recognize- as their backlog makes a timely & successful closing nearly impossible. The fact is: Realtors (and the Title Companies that we work hand-in-hand with) deal with lenders on a daily basis and know who is getting these loans pushed through and who is not. Period.   Trust me, we can save you many headaches!

Anyhoo, I stumbled upon this article a couple of days ago and felt compelled to share as it is SPOT ON.   Great advice via AOL Real Estate...

5 Things Preventing You From Getting a Mortgage Refinance

By Chris Birk on AOL Real Estate

Mortgage rates are beginning to creep up, but they're still well within the kind of range that makes longtime homeowners shake their heads in disbelief.  The average interest rate on a 30-year fixed-rate mortgage hit 3.63 percent for the week of March 10, marking the highest point since last summer.

So while a seller's market may be taking shape, it's still a great time to shop for a mortgage, especially a refinance. That's why it's so frustrating for homeowners who can't get on the bus.

So what's keeping you from getting a refinance loan right now? Here's a look at five of the most common culprits:

So-So Credit

Same as it ever was when it comes to mortgage lending -- you're going to need to meet a lender's qualifying credit score for a refinance, which in many cases will be higher than what you'd need for a purchase loan. For conventional refinancing, you're likely looking for at least a 740 score to really capitalize on current rates. The bar won't be quite so high if you're going after a government-backed option like an FHA or VA loan. Make no mistake: A loan program may not have a credit score requirement, but the lenders who actually issue loans certainly will. Right now, for example, VA lenders are generally looking for at least a 620 score. But you'll more than likely need at least a 640 to start the refinance conversation.

Your Home Is Underwater

Values are starting to rebound in some parts of the country, but a lower-than-anticipated appraisal remains a common refi-killer. Consumers who owe more than their home is worth know this all too well. Pursuing a traditional refinance is all but impossible for underwater homeowners -- and that explains why the government's special refinance program for distressed borrowers is absolutely booming. Refinances through the Home Affordable Refinance Program (HARP) topped 1 million in 2012, more than double the year prior. The HARP program helps underwater homeowners with Fannie Mae- and Freddie Mac-backed loans. It's possible for some lenders to process refinance applications without an appraisal (the VA's Streamline program is one example). But today that's a rare exception.

Not Enough Income

All indications are the economy is on the upswing. While that's good news for the nation, continued recovery doesn't suddenly put more money in your pocket. Many homeowners lost jobs or took pay cuts in the wake of the economic crisis. One missed mortgage payment can stymie a refinance application. Lenders will typically want to see 12 consecutive months of on-time payments. Diminished income can also make it tough to actually pay for the refinance, which like any mortgage loan comes with costs and fees. Self-employed homeowners will need at least 2 years of tax returns.

You Bought Big

Jumbo loans can present a unique set of refinance difficulties. These non-conforming loans typically require sterling credit and significant skin in the game to acquire. It can be especially tough when your $625,000 home has lost a third of its value. Jumbo homeowners may have to come to the closing table with cash in order to secure that lower rate.

Mortgage Insurance

Paying mortgage insurance can complicate your ability to secure a refinance. That's especially true for lender-paid mortgage insurance. Either form presents problems for the federal HARP program as well, although some lenders have loosened restrictions a bit in the last two years. If this is currently an obstacle, keep searching for a lender that will work with you.

Closed: 4060 Ramona in St. Charles

Huge congrats to my client, Cliff!

On a sidenote: Cliff managed to lock a 30 yr fixed loan at 3.95% with Coldwell Banker Mortgage! 

Wow.  Outstanding. 

Hence, if looking to refi or purchase, the time to lock in your rate is NOW!  The deals are unprecedented, the rates are historically low.  Fantastic investment opportunities out there, particularly for first-time Buyers.  My advice: don't delay if contemplating a move.  Low rates typically provide a fairly small window.

2 MAJOR Tax Changes for 2012, Homeowners...

Primary Mortgage Insurance premiums for those with less than 20% equity in their property (PMI) and energy efficiency upgrades will no longer be considered tax deductible.

More information can be found HERE on the National Association of Realtors HouseLogic website.

Reality check: 10 reasons why it's good to buy a home in this market

I read this fabulous article in the Wall Street Journal not too long ago, and have passed it along to several clients and friends. Figured that the blog is a perfect place to share it, as well.

In a time where the media is primarily focused on the "doom and gloom" of the current housing market, writer Brett Arends highlights the BENEFITS of buying in this market. Many of the mentioned pros of taking the plunge, I have been highlighting for months! This article is a phenomenal overview of the current housing climate, and the endless opportunities that currently exist out there for Buyers. Brett deserves a HUGE high five for this one!!

10 Reasons To Buy a Home
Written by Brett Arends

Enough with the doom and gloom about homeownership.

Sure, maybe there's more pain to come in the housing market. But when Time magazine starts running covers that declare "Owning a home may no longer make economic sense," it's time to say: Enough is enough. This is what "capitulation" looks like. Everyone has given up.

After all, at the peak of the bubble five years ago, Time had a different take. "Home Sweet Home," declared its cover then, as it celebrated the boom and asked: "Will your house make you rich?"

But it's not enough just to be contrarian. So here are 10 reasons why it's good to buy a home.

1. You can get a good deal.
Especially if you play hardball. This is a buyer's market. Most of the other buyers have now vanished, as the tax credits on purchases have just expired. We're four to five years into the biggest housing bust in modern history. And prices have come down a long way– about 30% from their peak, according to Standard & Poor's Case-Shiller Index, which tracks home prices in 20 big cities. Yes, it's mixed. New York is only down 20%. Arizona has halved. Will prices fall further? Sure, they could. You'll never catch the bottom. It doesn't really matter so much in the long haul.

Where is fair value? Fund manager Jeremy Grantham at GMO, who predicted the bust with remarkable accuracy, said two years ago that home prices needed to fall another 17% to reach fair value in relation to household incomes. Case-Shiller since then: Down 18%.

2. Mortgages are cheap.
You can get a 30-year loan for around 4.3%. What's not to like? These are the lowest rates on record. As recently as two years ago they were about 6.3%. That drop slashes your monthly repayment by a fifth. If inflation picks up, you won't see these mortgage rates again in your lifetime. And if we get deflation, and rates fall further, you can refi.

3. You'll save on taxes.
You can deduct the mortgage interest from your income taxes. You can deduct your real estate taxes. And you'll get a tax break on capital gains–if any–when you sell. Sure, you'll need to do your math. You'll only get the income tax break if you itemize your deductions, and many people may be better off taking the standard deduction instead. The breaks are more valuable the more you earn, and the bigger your mortgage. But many people will find that these tax breaks mean owning costs them less, often a lot less, than renting.

4. It'll be yours.
You can have the kitchen and bathrooms you want. You can move the walls, build an extension–zoning permitted–or paint everything bright orange. Few landlords are so indulgent; for renters, these types of changes are often impossible. You'll feel better about your own place if you own it than if you rent. Many years ago, when I was working for a political campaign in England, I toured a working-class northern town. Mrs. Thatcher had just begun selling off public housing to the tenants. "You can tell the ones that have been bought," said my local guide. "They've painted the front door. It's the first thing people do when they buy." It was a small sign that said something big.


5. You'll get a better home.
In many parts of the country it can be really hard to find a good rental. All the best places are sold as condos. Money talks. Once again, this is a case by case issue: In Miami right now there are so many vacant luxury condos that owners will rent them out for a fraction of the cost of owning. But few places are so favored. Generally speaking, if you want the best home in the best neighborhood, you're better off buying.

6. It offers some inflation protection.
No, it's not perfect. But studies by Professor Karl "Chip" Case (of Case-Shiller), and others, suggest that over the long-term housing has tended to beat inflation by a couple of percentage points a year. That's valuable inflation insurance, especially if you're young and raising a family and thinking about the next 30 or 40 years. In the recent past, inflation-protected government bonds, or TIPS, offered an easier form of inflation insurance. But yields there have plummeted of late. That also makes homeownership look a little better by contrast.

7. It's risk capital.
No, your home isn't the stock market and you shouldn't view it as the way to get rich. But if the economy does surprise us all and start booming, sooner or later real estate prices will head up again, too. One lesson from the last few years is that stocks are incredibly hard for most normal people to own in large quantities–for practical as well as psychological reasons. Equity in a home is another way of linking part of your portfolio to the long-term growth of the economy–if it happens–and still managing to sleep at night.

8. It's forced savings.
If you can rent an apartment for $2,000 month instead of buying one for $2,400 a month, renting may make sense. But will you save that $400 for your future? A lot of people won't. Most, I dare say. Once again, you have to do your math, but the part of your mortgage payment that goes to principal repayment isn't a cost. You're just paying yourself by building equity. As a forced monthly saving, it's a good discipline.

9. There is a lot to choose from.
There is a glut of homes in most of the country. The National Association of Realtors puts the current inventory at around 4 million homes. That's below last year's peak, but well above typical levels, and enough for about a year's worth of sales. More keeping coming onto the market, too, as the banks slowly unload their inventory of unsold properties. That means great choice, as well as great prices.

10. Sooner or later, the market will clear.
Demand and supply will meet. The population is forecast to grow by more than 100 million people over the next 40 years. That means maybe 40 million new households looking for homes. Meanwhile, this housing glut will work itself out. Many of the homes will be bought. But many more will simply be destroyed–either deliberately, or by inaction. This is already happening. Even two years ago, when I toured the housing slump in western Florida, I saw bankrupt condo developments that were fast becoming derelict. And, finally, a lot of the "glut" simply won't matter: It's concentrated in a few areas, like Florida and Nevada. Unless you live there, the glut won't have any long-term impact on housing supply in your town.

Write to Brett Arends at brett.arends@wsj.com .

Just when you thought they couldn't get lower...

...rates dropped AGAIN this week.

At their lowest point since 1971, Mortgage buyer Freddie Mac says that the average rate for 30-year fixed loans currently sits at 4.27 %. That's down from 4.32 percent the previous week.

Save yourself a lot of money and call your lender: it is time to refi and lock, people!

For more information or a referral to a reputable lender to see whether a refinance is worth it for you, feel free to email me at cnenonen@cbgundaker.com.

Still falling!

I said it a few weeks ago, but wanted to reiterate...
If you have been considering a loan refinance OR your current interest is at 5% or above... the time is NOW!! Do not wait. The rates are at historical lows, yet again, and they will not last.

According to the latest Freddie Mac survey, the average interest rate for a 30-year home loan dropped to 4.4% last week.

I have received almost a 1/2 dozen phone calls and emails from past clients over the past 2 weeks, all inquiring the same thing: Is a refi worth the hassle at this point? Here is a basic interest rate calender...




That being said, there are many other factors to consider during the loan restructuring process, as well: your current rate, how long you plan to stay in the house, how much equity you have, and the fees associated with the loan restructuring.

My best piece of advice on how to proceed to ensure a refinance is favorable to your current financial situation? Make a call to your lender, crunch the numbers, and see how the cards fall. It can't hurt and you can always change your mind. If it works out in your favor, however, it could save you a LOT of money.

Savings alert...

Considering a purchase or refi?


The time is NOW, NOW, NOW! Lock in your rates/loans quickly.

This week, mortgage rates plummeted to their lowest point in 40 years. The average for a 30-year fixed-rate loan sank to a ridiculously low 4.69 percent. Rates for 15-year and five-year mortgages hit record lows, as well.

That means MAJOR savings and more house affordability. If you have any questions regarding the rates and the pros/cons/logistics of refinancing and/or purchasing a home in this market, email me at cdnandthecity@charter.net.

Interest rates plummeted...

Still more good news for 1st time home buyers: the 8k tax credit, record low prices, and now super low interest rates...
If in need of a refinance... the time is NOW!