Foreclosures and Interest Rates

According to  housing reports, home  prices  have declined 15.3% since last year  in the 20 largest cities in  our nation.   Unfortunately,   the key factors that caused prices to go down are still haunting us today.  

 As you know,  one of these factors is that we are seeing a tremendous amount of unsold homes combined with new foreclosures coming onto the market every day.   Also,  in our area new home construction took a dive this  June.    Reports from the home builders association predict sales will not be better in the coming months.

Today we saw the Federal Open Market Committee’s decision to leave interest rates unchanged.   Of course this was not a surprise.   Actually, I think if we see a change in the future, we will see interest rates go higher rather than lower.   Why would the Fed leave interest rates unchanged or even think of an increase?   To Stop Inflation.   I just don’t know if, as a nation, our economy is ready yet for any increases in interest rates.  

What do you think?

Good Community News that help BOTH Buyers and Sellers!

Every year Newsweek and the Washington Post publishes a list of the top  high schools in the nation.   Eight high schools in Prince William County received this honor of being in the top 5%.

Below, is a list of High Schools in Prince William who were in the top 5%.

*Hylton High School


*Osbourn Park

*Stonewall Jackson

*Forest Park



*Brentsville District

Affordable Housing for County Employees

Officials in the county of Prince William, have come up with a proposal to help county employees purchase foreclosed homes with low-interest loans.

Prince William  will invest no more than $20 million dollars into 10-year CDs from financial institutions.   The county will receive an interest rate of roughly 4%.  

County employees who want to take advantage, will recieve a 5% rate on their morgage which is lower than what we are seeing now.  

In a nutshell… Prince William County will get interest on their investment. The bank will make a profit, and of course, the county worker will receive a lower interest rate.

The county is NOT going to subsidize or guarentee these loans.   Most importantly, the buyer will still have to qualify for a loan.   Officials are letting all residence of Prince William know that the bank is still signing all loan documents NOT the county.  

 Other Important Aspects of this Program:

*The interest rate remains fixed as long as the county employee remains a county employee and keeps the home.

*ANY county employee is eligible to apply.

*This program is NOT supposed to cost the county any money.

Desperate to Sell Your Home?

In the past few months I have been reading article after article about fraudulent companies that  want to help homeowners that are faced with foreclosures.      

These days if you are having finacial problems and are starting to feel desperate to come up with ways to save your home, you need to be very careful to whom you turn to. There are many  scam artists out there who prey on homeowners who  are faced with foreclosure.   Below, are a list of some of the more  common scams that are being reported nationwide in our  market.

*If someone asks you for money to help you get out of debt,  make sure you know who you are dealing with.   The individual who has promised you help will  usually disappears as fast as the money you handed over to him.

*Another scam tactic we are seeing in today’s market are individuals posing as real estate professionals of one kind or another.   After they earn your trust, and promise to help, they come to you with documents that look very similar to a refinancing application, but in actuality these documents are transfer papers for your title.    The moment you sign, you have lost your home.

*Another type of scam  that is just another trap,  are  individuals who counsel  desperate homeowners into filing for bankruptcy, promising this would SAVE your home.   Unfortunately, the only person this helps  is the scam artist who takes your money to file the bankruptcy.

The  list goes on and on.    If you  are faced with foreclosure, in my opinion, the best place to turn is a real estate professional or your financial institution.    In most cases, you bank does NOT want your house.    Also, all  “financial rescue companies” are not fraudulent.   Just make sure to do your homework and if it sounds to good to be true, it probably is.