Oakbrook Terrace, IL (PRWEB) September 04, 2013
Peoples Home Equity has been informing its first-time homebuyer applicants that according to Zillow, an online real estate database, negative equity in homes has declined nationwide for the past five quarters. This is good news because it tells the buyer home prices are rising, and that more sellers are arising in the market soon. As negative equity declines the implication is that more positive equity will soon appear attracting homebuyers who have held their home until they reach a profit (positive equity) to sell. As more sellers appear, the real estate market will give buyers more freedom to choose a property and prices will become more competitive. While we are not there yet, since prices are rising on tight inventories, declining negative equity is a step in the right direction.
Another step in the right direction has been seen by a 32% decline in the year-over-year national foreclosure rate for July (From July 2012 to July 2013). According to CoreLogic's (a consumer analytics company) chief economist Dr. Mark Fleming this “continued strength in the housing market will contribute to our outlook of ongoing improvement in the stock of distressed assets through the end of the year.” Buyers can be excited about the decline in foreclosure rate because it implies that lending companies will lower their credit standards making it easier to obtain a home loan.
When in the lending business, it’s always nice to hear that foreclosures and negative equity are trending downwards because it bodes confidence to give more loans to Americans that are proving they can pay back. However, People Home Equity is aware that some individuals and families are struggling with their mortgage payment causing serious delinquencies to remain a troubling statistic. Serious delinquencies, according to Core Logic, stand at 5.4% nationwide, or 7.21% in Illinois where Peoples Home Equity is based in. The company wants individuals to know that refinancing is an option to adjust an unsustainable monthly home loan payment.
For more information about refinancing options please contact a Peoples Home Equity representative for a NO-PRESSURE conversation at: 615-872-0220.