Troubled Times

In today’s troubled times, we are experiencing unprecedented issues, that we wouldn’t have even thought were possible six months ago.  Of course, we’re talking about the coronavirus pandemic, and the protests happening around the world today and the unrest that is accompanying it in plenty of markets.

Because of the protests and unrest, it is possible that appraisals and home values can be affected.  In the mortgage crisis of 2008, we took a time out to prevent home values from being adversely affected and waiting for turmoil to die down before making a lot of moves forward in the loan business.  In comparison to today’s turmoil, there may also be a need to a time out.  And part of that reasoning may indeed have to do with the unrest in your area.

We locked our office doors this week, because geographically, our offices are in one of the hot spots in Southern California. Our business continues because a lot of us are already “work from home” people.  However, if the home you live in or wish to live in is in an affected neighborhood, or district, it may be that a time out is warranted.  Appraisals for re-fi’s and new purchases may be affected by certain geographic indices given the social unrest happening.  So we suggest you communicate with your lender and be prepared tp take a breather.

This week, interest rates are still historically low.  In fact they should be lower based on the bond market currently.  And today’s rates are indicative of the bond market.  30 year fixed 3.05% 15 yr fixed 2.70% FHA 2.68% non-conforming Jumbo 4.29%.  All rates are quoted as of today 6-2-20 and are averages and not a firm quote from Malibu Funding.

Call if you have any other questions, please stay safe.