What’s going on in the real estate market as we enter the spring of 2015? If you missed our most recent newsletter, here are some of the trends we’ve been seeing in real estate so far this year.
Real Estate Trends We’ve seen in 2015
Interest rates are holding fast at or below 4.0% for 30-year fixed money. The Fed is taking a cautious approach to rates, but has hinted that it may raise rates later in 2015. As of now, we might not see movement until mid-summer, so buyers can expect rates to hold for a few more months.
Shortage of Good Listings
While realtors are reporting good activity, there is a shortage of good listings on the market. The result? Well-priced attractive properties are getting multiple offers. The right properties are getting offers above list price. Whether you’re a buyer or a seller, now is the time to be in the market.
Title Work on Foreclosures
As Maryland works through a backlog of foreclosures in 2015, we’re seeing more and more former foreclosures that were bought back by the lender show up on the market. If you buy one of these properties, it’s important to get the title work started early. We’ve seen a number of cases where the lender puts the property on the market and signs a contract to sell, but had not put themselves in the title. This means the title company has to wait for the lender to go into title so we can complete the title search and settle the properties.
LLCs, Corporations, and Land Trusts
If you are selling a property to a buyer who is an LLC, corporation, or land trust, make sure the entity is properly formed and in good standing with the state. If it is not, things get complicated. As a recent example, we represent a client who thought she sold her property to a land trust, but it turns out the entity did not exist. The buyer defaulted and did not come to closing, and now we have to prove who the real buyer is. As it turns out, the real buyer is an individual who provided our seller a letter from a financing company stating that the individual had a substantial approved line of credit for just such purchases.
Real Estate Closing Services from Colony Title Associates
Colony Title has been in business since 1995 and handles more than 2,000 real estate closings per year. If you have any questions or would like to speak to a representative about closing, please give us a call at 410-884-1160 or visit our website for more information.