To make things simple, the loan amounts that do not force you into higher rates and costs are about to be adjusted downward. The result will be that nearly 1.4 million homes will be removed from eligibility for lower-rate conforming loans.
If you are a buyer, this is good news. If you are a seller, you may not be too happy. Downward pressure means lower prices and if you are a seller and already pissed off about your equity loss, you better stock up on Desitin.
Some experts believe that a move like this in the middle of a crisis like this is not a good idea. But they are same people what will pull your band aid off very slowly.
Doing so just prolongs the pain. There is no painless way out of this mess and it is going to get worse before it gets better.
Some experts thought that the President’s new economic plan would provide a clear path to recovery. Fat chance. There is very little bite in the new plan and no address of the downward adjustment to the conforming loan parameters.
It just goes to who you that when you are looking for pennies on the ground, you might just miss a dollar bill blowing overhead.
Appraisal Source is a New York based residential real estate appraisal firm. Their staff of highly qualified appraisers on Long Island and in New York City provide independent, reliable home and apartment appraisals.