CAN I GET A GREAT PRICE ON A HOUSE? #COVID19 PANDEMIC

CAN I GET A GREAT PRICE ON A HOUSE? #COVID19 PANDEMIC Has the COVID -19 (Coronavirus) Pandemic produced a buyers market? Have homes sellers lowered their prices to offset the reduced buyer pool? How long will this real estate pause last? Note: This video contains time sensitive data from a National Association Of Realtors Survey. Watch it today... ✔Free Home Buyers or Sellers Guide: http://freeebook1.toplirealtor.com/buyer/sellerguide

Transcript of Video:

Does the current coronavirus mean Real Estate's on sale will you be able to get

a great deal on a house that's a topic of my next video

can you miss the homebuyer get a great price on a house since the coven 19

pandemic are the sellers giving their properties away that's the topic of

today's video hello everybody my name is Mark Schreier and I'm a licensed sales

associate with century 21 American homes Real Estate right here in Syosset Long

Island basically everybody wants a great deal is this pandemic gonna turn into a

buyers market is it currently a buyers market we're gonna discuss some basic

facts and principles I'm gonna give you some research that the National

Association of Realtors has shared current research dated mid April which

we're in right now everybody wants a great deal supply and demand dictates a

market the stock market is going chaotic right now take a very big dive one up a

little drop a little according to the news of the day real estate right now

particularly on Long Island is sort of on a pause it's under stand still

Realtors can still sell properties properties are still closing not near

the amount of properties that close compared to a traditional spring market

people are waiting on the side and watching but they inventory is has

always been low the the mortgages are at historic lows it's a great time to

refinance if you're able to meet the parameters of of the banks that are

ever-changing and I will include a link to a video I made about what's going on

with the current mortgage rates since Cove in nineteen and what you're

expected to have credit score wise and things that alike so check out that

video if you're interested in refinancing or you want to enter the

market as a buyer and you want to know if you can get pre-approved so what does

it mean can you get a great deal well the National Association of Realtors

survey showed that even though the market was very strong before an

interest rates are very low for that reason sellers are not willing to budge

in in generally yes you're always gonna find a seller that needs to get out or

has already moved and the house is empty but in general the Realtors that were

surveyed about their buyers they did not I mean their sellers their sellers

not want to lower their prices but then there's the dilemma you got 63 percent

of buyers expecting lower prices and you get 72 percent of sellers say no I'm not

lowering my price so we're gonna see who blinks first what's going to determine

it well the fact that the mortgage rates were very good before which means a

strong buyer poll the inventory was always limited it all depends on

unemployment rate how long people stay unemployed how much this stimulus the

second bump of the stimulus package helps people and even if it helps people

if you're unemployed you're not gonna be getting a mortgage if you're a cash

buyer and you have liquid cash you cash is always King it's gonna help you

significantly if this health crisis keeps going for a lot longer than people

are expecting it to but we don't know like I said I don't have a crystal ball

things are starting to open up now if things can open up in the country

without any significant hiccups and more you know real lock downs then we would

say in 3 to 6 months hopefully real estate will be back things will never be

the same which will be the topic of another video on how to how showing

houses and everything is going to change since this covered 19 pandemic but would

that be inset again can you get a great deal on a house if you have cash I would

say your chances are better if you're willing to be in the market now and look

at houses you might not get a great deal but you might be able to get the house

that you were hoping to get in an area because the buyer pool is significantly

reduced can you still go through the transit transaction of buying that house

and doing everything with attorneys and appraisers the answer is with a good

realtor a good real estate firm yes my company and myself can go through a

total virtual transaction never having to see the property never having to

enter the property you can buy a property that way and it also is

adhering to the CDC and social distancing guidelines I hope this was

helpful if you enjoyed the video please give me a thumbs up and don't

forget to subscribe in the bottom and click the bell for notifications this is

Mark Schreier from the century 21 American Homes and stay safe

Mortgages (#COVID-19) Can I Still Get One? (#TIME SENSITIVE)

Mortgages (#COVID-19) Can I Still Get One? (#TIME SENSITIVE)
The Coronavirus Pandemic has had a dramatic affect on the mortgage industry. Banks don't want to lose money and this uncertainty is making many banks tighten their lending guidelines. In this time sensitive video I (Mark Schreier a Licensed Sales Person With Century 21 American Homes Real Estate) sit down with Quentin Hardy a Mortgage Banker with Movement Mortgage (via Zoom) and ask the question you my viewers wanted to know. *Should I take advantage of the forbearance offer? *Is my current pre - COVID19 mortgage approval still good? * What are the current guidelines needed today to get approved for a mortgage? *What can I do today to help me get approved for a mortgage when this health crisis is past us? ✔Free Home Buyers or Sellers Guide: http://freeebook1.toplirealtor.com/buyer/sellerguide Contact Info: Quentin Hardy Loan Officer Movement Mortgage (C)516.697.4200 (W)631.315.6742 Email: Quentin.hardy@movement.com Website: https://movement.com/lo/quentin-hardy/ Suggested Videos: How To Sell My House During The Coronavirus Lockdown https://youtu.be/e4uuJijdRLc Should i Buy A House During The Coronavirus Pandemic? https://youtu.be/ZUX5KLrr33A Will The Long Island Housing Market CRASH? (#COVID-19) https://youtu.be/OAHr6ARrp2Y

Transcript:

mortgages can you still get one is your pre-approval still valid since the onset of COVID 19 that's the topic I'm gonna be asking Quinton Hardy Mortgage Banker with Movement Mortgage stay tuned to my next video

oh I'm sorry snacking seems to be coming my new best friend are you going to be

able to still get a mortgage since the cove in nineteen pandemic is your

current pre-approval still valid those are the questions I'm gonna be asking

Quinton Hardy a Mortgage Banker with Movement Mortgage stay tuned hello

everybody we have Quinton Hardy here I had a couple of mortgage questions that

I've been answering in some other videos that have will included in the link and

so much is going on in the mortgage industry with just over 19 craziness

that's going on and I speak to Quinton on a semi-regular basis and everything's

changing every day every hour and he had some big news that will share with us

about the bank's tightening up the ropes on a lot of people and this particular

video I wanted to get a specific question that was asked to me by a

viewer that watch one of my videos and it was a first-time home buyer and she

was all set to enter the market and then BOOM everything changed and now she's

like is this everywhere is just as her location she's located in New York I'm

not exactly sure she's on Long Island but she's in New York and she's feels

you know like everybody else terrible that she can't enter the spring market

which she's been waiting for saved all her money

so first Quentin if you can answer what's going on in general and then

specifics for first-time homebuyers and we'll take it from there

sure what's happening in general the market is with the possibility of

forbearance the US government bio info Reserve I should say buying

mortgage-backed securities and a lot of the craziness that's going on we'll get

into the the high-level detail but the bottom

line is that there are some mortgage banks that are going out of business

disappeared a non-qm sector again doesn't matter if you don't know what

that is but certain sectors but it also means that with the potential of

according to the Secretary of Treasury potential of 20% unemployment

we're expecting there to be a lot more foreclosures and a lot of struggle for

any mortgage servicer so that the companies that are servicing the loans

realize that when they give someone a mortgage they're getting the money from

a back-end investor the banks don't give you their own money so if you don't pay

them the mortgage because you don't have a job foreclose your forbearance even so

people who are not paying they still have to pay their back-end person and

their algorithm their model maybe accounts for 0.1% for balance so

if suddenly you've got 5% or 10% forbearance those banks are struggling

so in general what's happening is they're they're expecting more of this

to occur so what they do is you tighten up lending guidelines you stop lending

to the riskiest places and that your level of tolerance will be somewhat

based on how much pain you're feeling from your servicing portfolio so chase

for example as of today Tuesday when we're recording this if they are no

longer going to be offering mortgages purchases or refinances pretty much the

whole portfolio you have to have 700 credit score and 80 percent meaning 20

percent down so that sounds when they made that announcement it makes it

sounds like oh my gosh I you know first-time homebuyers 5% down 3% down

are gone nope that's just chase and that's what Chase announced does this

mean that other lenders were will follow or other banks will follow most likely

yes but there were there are banks that won't so there still will be 3% down and

three and a half percent down and 5% down and if you're a veteran 0% down

programs a lot of those programs are still still there now some of those

programs are experiencing tightening in other ways maybe lower debt to income

ratios or higher credit scores and we're seeing that throughout the industry but

there is no there is no homogeneous 'ti there's no

it's not all the same it's chaotic so one bank that used to do 580 credit

score with FHA is maybe now doing 620 another bank that used to handle 580

credit score's FHA is doing 640 or 660 so there's still options out there but

they would speak to their realtor like you and find a good referral partner a

good mortgage lender speed to me and we can find a program that's eff it's now

this is April 14 2020 I usually don't give dates out in the videos but because

this is such a such a fluid situation today like I think we mentioned the

other day is that one bank might ask first a certain credit score and they

might have proved you but then when you go to the closing it could be a whole

new world is that correct we're seeing that less and less but I think some of

them were caught off guard so for example United wholesale mortgage who is

one of the biggest lenders in the country it's a name you probably don't

know because they work with brokers but what ends up happening is a lot of the

brokers who are using them it was they changed their guidelines one night and

people who came to their closings the very next morning who didn't get a phone

call hey you no longer qualify we need to reek wala Phi you need a higher

credit score or more down payment or change your debt to income ratio so

there was some struggle with that and they weren't the only ones I'm not

picking on them right that's that's getting to be rarer and rarer for

example as we just mentioned chase they made this notification over the weekend

which gave people time to react for the most part what we're seeing is that if

you are locked in on an interest rate locked in and approved and committed and

ready to close most banks are honoring that we do see that some banks are not

however so it's a case-by-case basis and what is the about a month ago right

before clubbin 19 really took effect the mortgage rates were the lowest they ever

were I already gave the data out so this is date specific what are the average

mortgage rate so they still very low and still very enticing for people we saw

the lowest rates in the history of the United States early in March and then in

about a week's time they went up almost the full

sent and then they started a creep back down so right now we're back near not at

the very all-time lows so even if we're the second lowest or third lowest in all

of history rapes are really really good if you're looking to purchase or

refinance don't be distracted by code but if you have a situation where you're

up your economics allow it your income is still there great time to refinance

great time to buy a home okay I have two questions the last question is gonna be

tips that you're gonna share with everybody on what they can be doing now

if they know like the example the the question I asked about a viewer she is

unable to buy right now a mortgage person told her that so tips that she or

anybody that's considering or what is was considering entering the spring

market what they can do now so when the actual pause is over they're ready to

rock and roll and get into the market right away we'll save that one for last

but I've been getting emails and everybody's been here and anybody who's

checking out real estate the word forbearance I know you've done the

little videos and everything and you're get a cringe in your face and I just got

another email from somebody else in the mortgage industry and can you enlighten

everybody and I mean I get phone calls can I stop paying my mortgage should I

stop paying my mortgage your advice about the actual forbearance that the

government is nice enough to be offering everybody and I'll say that with a grain

of salt that's even one of the government's not

really offering it okay there they are giving some laws but it's offered by

your lender okay which means that there's no Universal answer right some

lenders are offering to put those two or three or four payments at the end some

are not so that's the thing is I know I heard on the news hey you don't have to

pay your mortgage for the next three months the government is mandated that

you know they're gonna put it on the end that's that's not what was mandated and

your your lender may do it may not do it might be three months might be six

months there is no requirement per se and I think that was one of the

challenges is that they're not asking people to

prove hardship so if you just don't feel like paying it you don't have to but is

that really a good thing there's no free lunch it mine is my philosophy nothing

is free somebody's paying for it somewhere somehow if you have a $3,000 a

month mortgage that's saying you don't pay for three months that $9,000 if they

tack it on to your end of your mortgage you're now paying interest on the

interest and that ten thousand dollars or nine thousand that you didn't pay is

it'll cost you way more over the life of your loan so it's not free it's actually

more expensive that's one two is some of the lenders if you are in forbearance

they are going to report that as your body or credit history

so now six months from now in two years from now you go to buy a house or

refinance and the underwriters says oh I know here on your credit report you

didn't pay your mortgage as was agreed and they go well the government said I

didn't have to you still didn't do it that makes you a different level of risk

so there are underwriters who may view that and and and that's what I keep

asking people so when you before you do it if you really can't pay yeah I take

advantage of it I get it but find out what are the ramifications

on the other end of this yeah it's forbearance is not a free ride

forbearance is not defer it's not necessarily the same as deferment and

forbearance doesn't mean you don't pay so find out what are the consequences of

the actions and and you know don't call your realtor and ask that call the bank

so people calling March fryer hey you're a smart guy who knows a lot of stuff

about a lot of things but do you know what their lender is gonna report on

that credit report for that particular person and it may not in the universal

make all Bank ABC and you and I get different answers because of the back

end investor who holds our loan or the kind of loan we have or when we got it

find out your specifics and particulars on the consequences of those actions and

my advice would be not only call your lender or call your attorney and your

accountant and get all these professionals involved and always get

whatever the bank is going to give you in writing because what they tell you

today come two years from now when everything's changing and everybody's

money in their pain and they're gonna slap you with a large sum you know debt

or your credit is now messed up and now you have to go through the hassle of

correcting your credit and we all know that that can be a major hassle at your

expense and you might not be able to pull any loans from anywhere else in

that time period if you have a big slap on your credit score

so that's something to consider great advice and now the last thing the last

question that I mentioned is what can you know mister buyer or mrs. buyer on

the fence who you know is real upset now that they couldn't enter the market

because they had everything set but they're maybe they're they're unemployed

now or their credit score is not where it should be any advice should they be

reaching out to the mortgage people I know I've been telling people I have

other videos as well on how to set yourself up on the real estate side that

you could actually shop now virtually everything can is online we could

Realtors that have the technology can sell a house sight unseen like some

people do who are transferring from out of state or out of the country in

corporate America just through the use of you know digital marketing and East

signatures and things of that nature can they let's start with if I want to

buy a house now and I need to get a mortgage and I have all the requirements

met credit score and down payment wise can Quintin Hardy at movement mortgage

and will speak movement mortgage because we have you can you do the documents

virtually or digitally and be acceptable to your bank

sure probably eighty percent of my clients I don't meet face to face

maybe I meet them at the closing if I go but I had a closing today I didn't go

because you can imagine I've had closings during kovat for purchases and

refinances at different transactions and I'm not showing up so some of these

folks I don't get to meet but in this day and age you can virtually you can do

everything for your mortgage pretty much in between the telephone and email and

and even old-school fax right electronically it can be done

great and some tips that you can share what should people be doing to help them

prepare to get back in the market as soon as this pauses is done well one

thing like that lady you mentioned who her lender said she was not qualified as

she should find out what it is that's that's stopping her from being qualified

and maybe check with another source and again not to pick on Chase but if you

call chase today and you've got a $6.99 credit score they're gonna tell you

you're no longer qualified to buy a home but they won't necessarily explain this

you're no longer qualified to buy a home with us it doesn't mean you can't get a

loan elsewhere great tip you've only got 5% down they're gonna tell you the same

thing you might be very well qualified elsewhere so that's the first thing is

to find out why you're not qualified and is that something that can be overcome

at another lender - if it can't work on whatever that is if it's that you don't

have a need money for a down payment start saving money if your credit isn't

perfect start working on your credit whatever that item is use this down time

to get ready and get in position but that might require speaking with the

lender or lenders to figure out what action to take for your specific

situation great and in closing I'd just like to say that Quinton was mentioning

the mortgage side of it same thing in real estate same thing in buying houses

use this time to do your research to educate yourself or watching youtube

videos like this one and get yourself ready for the pause to be or the lock

down or lock in whatever you want to call it to be lifted biggest unlike the

o8 real estate dive this is not a real estate dive the real estate market was

doing really well particularly here on Long Island and it's it's like

everybody's you know if you have a follow horse racing they're at the gate

and they're waiting for the starting bells they jump back into the market

with that being said I like to thank went in a movement mortgage that he's

gonna have his contact info I'm gonna share with you down below in the

comments and thanks again