Just a quick update on the market…

Prices in the Seattle Real Estate Market remain very favorable.

Banks are lending. Rates are low. Currently rates are in the 4% range on a conforming loan ($417,000 or less). Just a few months ago the same loans would have been 6% or more! Even higher end loans known as Jumbos (Over $417,000) can be found in the low 5%. 

Did you know that a 1% reduction in interest rate has the same impact on your monthly payment as a 10% reduction in purchase price?! See below for how today's reduced rates translate into lower payments and more buying power.

The Power of 1

Loan Amount                            $250,000     $325,000     $417,000

Monthly Investment at 6%*        $1,498         $1,949        $2,500

Monthly Investment at 5%*        $1,342         $1,745        $2,239  

Monthly Investment Difference:   $156            $204           $261

How much more home         

you can buy for the            

same monthly investment           $29,050        $38,063       $48,704

The 1% difference lowers your payment significantly if you refinance; or buys you more home for the same monthly investment. More bedrooms, larger house, better neighborhood, more ammenities, maybe a shorter commute. You can save over $250 a month on your Bellevue home or Issaquah condo. Contact me at 206-300-1199 for purchase or refinance advice.

* Principle and Interest. These numbers are approximate and for owner occupied properties. Investment property interest rates may differ.