Mar
26
Is Sub-Prime Lending in Seattle Really A Concern?
Written by: rebecca and filed Under Blog, Buyers, Lending, Real Estate |
Of course it is…and it isn’t. Hmmm…
I recently had a friend email me and ask my opinion of what is going on in our local marketplace and whether I would feel comfortable buying right now.
Specifically they asked:
- What are your thoughts on the sub-prime market going belly up?
- Do you think Seattle is insulated enough (real estate wise) to not be affected?
- Do you think the sub prime mess will trickle into our economy and cause a big recession?
- Would you advise against buying right now especially with a 5 yr I/O mortgage?
First off, WOW, that’s a lot to cover. Let me see if I have this straight.
- Predict whether or not an entire segment of the lending industry goes away (and takes thousands of jobs with it).
- Predict the effect of an event, that may or may not happen, on the Seattle real estate market.
- Predict the effect of an event, that may or may not happen, on the Seattle economy.
- Advise someone on the viability of purchasing a home using an Interest Only loan product with no knowledge of their financial situation.
Here is my short answer:
- It won’t completely.
- If I were a betting person, it won’t effect it in a meaningful way.
- See Response #2
- Do I look like a mortgage broker?
Obviously I gave them some more color than that, but I will save that for another post…or four.
Comments
Leave a Reply
Subscribe
Frequent Contributors
Rebecca Kuno
Realtor & ASP
(206) 686-1661
Post Archive |
RSS Feed
Barb Paetzold
Mortgage Expert
(425) 820-0601
Post Archive |
RSS Feed