Sale Price and List Price Ratios

List price and sold price ratio

What are sale prices and list priceratios for single family homes in Broward County, Florida?

Close price to list price ratio. Broward. Jan 2013-July 2018
Close price to list price ratio. Broward. Jan 2013-July 2018

 

Real estate is somewhat seasonal.

If you woud look at the chart above you can see very interesting information about Broward County, FL real estate. The chart I did using all the information I had gathered from MLS of the Palm beaches and Greater Fort Lauderdale. These numbers are said to be reliable but are not guaranteed.

The chart shows the real etstate market from the period of January 2013 up untill July 2018. It is based on sales of 97,537 single family listings.

The green line in the chart shows the closed price to the list price ratio. You can see that during summer 2018 the ratio was the closest to 100% during this period. It was above 97.6%

The bigest discrepancy between closed and sold price was around the January 2015.  It was around 96.5%

If you look in more detail information, you will notice that around every January of each year, there is a close price and listing price ratio decrease. There are usually fewer homes around Christmas holidays. We usually notice the increasing number of the homes for sale after the holidays. If you look closely, you will notice the closed price and list price ratio is the highest during the summer months. Some of it has to do with people buying habits.

It is still a great time to sell.

Mortgage Rates Dropped During the Week

Gate to the side yard
Gate to the side yard in Hollywood, FL

Freddie Mac released another weekly Primary Mortgage Market Survey on August 23rd ,2018. It shows U.S weekly average mortgage rates for the week ending August 23rd, ,2018.

Mortgage rate dropped during the last week:

Freddie Mac 8_23_2018. Primary Mortgage Market Survey
Freddie Mac 8_23_2018. Primary Mortgage Market Survey

The highest interest point for 30-year fixed-rate mortgage was for the week ending May 24th, 2018. It was 4.66 percent.

The highest interest rate for 15-year fixed-rate mortage was for the same week ending May 24th, 2018, and it was 4.15 percent.

 

Freddie Mac 8_23_2018. US weekly mortgage averages
Freddie Mac 8_23_2018. US weekly mortgage averages

30-year fixed-rate mortgage dropped by 2 points since August 16th, 2018, when it was 4.53 percent, and current is at 4.51 percent.

30-year fixed-rate mortgage increased by 65 points since August 24th, 2017, when it was 3.86 percent.

15-year fixed-rate mortage dropped by 3 points since the last week’s August 16th, 2018 results of 4.01 percent. Now the 15-year fixed rate mortgage is at 3.98 percent.

15-year fixed-rate mortage increased by 82 points in one year since the August 24th, 2017 when it was  3.16 percent.

 

What Is a Fixed-Rate Mortgage?

What is Fixed-rate mortgage
Downtown Fort Lauderdale, FL

A fixed-rate home mortgage has an interest rate that remains the same for the life of the mortgage.

That means, the monthly pricipal and interest payment will not change during the life of mortgage.

It has one single the same payment every month, what gives stability and predictability to plan for the monthly budget.

Here are some other blog posts that I have written already about the mortgage: what is a mortgage , Fannie Mae loan,and Freddie Mac loan.

Mortgage Rates Go Down for the Second Consecutive Week

Decorative wall
Decorative wall

Freddie Mac just released it’s weekly Primary Mortgage Market Survey. It shows U.S weekly average mortgage rates as of  June 7th, 2018.

Freddie Mac 6_7_2018. Primary Mortgage Market Survey. US weekly mortgage averages
Freddie Mac. Primary Mortgage Market Survey. US weekly mortgage averages as of 6/7/2018

This survey shows how U.S weekly average mortgage rates change during the week.

This week’s, June 7th, 2018, survey shows, that 30-year fixed rate mortage went down by 2 points since the last week’s survey.  Mortgage rates went down to 4.54 percent, since the last week survey when it was 4.56 percent.

The 30-year fixed rate mortgage increased by 65 points in a year. For the week of June 8th 2017, when rate average was 3.89%.

The 15-year fixed-rate mortgage went down by 5 points in one week. It is at 4.01 percent now, when last week was 4.06 percent.

The 15-year fixed rate mortgage for the year increased by 85 points. It was 3.16 percent on June 8th, 2017

 

Freddie Mac. US weekly average mortgage os af 6_7_2018
Freddie Mac. US weekly average mortgage as of 6/7/2018

Since April 1971, Freddie Mac has surveyed lenders across the U.S. weekly to determine the average 30-year fixed-rate mortgage rate

What Is a Title Search in Real Estate?

House in east Fort Lauderdale, FL
House in east Fort Lauderdale, FL

A title search in real estate is a process of researching of a real property history. It is done when a real property  is being sold and getting a new owner.

The property buyer wants to investigate the history of a particular property by looking into legal records for any changes done, inconsitency and irregularities with the legal documents of the property. All the legal documents show events in the history of real estate.

All recorded documents regarding a specific real estate property are looked into to decide on the current condition of real estate title.

 

When buying a real property, a title search is done to answer three main questions regarding a real property :

  1. Does the seller have a saleable and marketable claim in the property?
  2. What kind of restrictions or allowances come with the use of the land? ( example: real covenants, easements and others)
  3. Do any liens exist on the property which need to be paid off at closing? ( example: mortgages, back taxes, mechanic’s liens, and others)