Latest with Maltese Group at Supreme Lending:
May was a more challenging operations month as we took on average 22 days to get from application to final approval, also known as “CTC” which stands for “clear to close”… The 23 transactions on average took 27 days from application to fund. Application to fund is not as important as “application to CTC” because there are instances where the seller would prefer to close later. That said year to date, we have closed over 65% of our loans or less, helping 80 home owners this year so far.
With pricing pressure mounting, condo financing will become a critical component for first time home buyer’s gateway to home ownership:
Attached is the list of condo projects Supreme has deemed “approved”. Some you will notice are in yellow, others are in a mauve type color.
- Yellow= Full Approval. This means your clients can use conventional financing and put as little as 3% down, they can even buy a unit as an investment.
- Mauve= Limited Approval. This means your clients can use conventional financing but need to put 10% down for a primary or 25% down as a vacation home. No investors allowed. Yes, even if occupancy concentrations are less than 50% we are still ok!!!
The Dow Jones closed up nearly 90 points primarily fueled by bank stock rallies. The markets appeared to be unaffected by the testimony of Ex FBI chief James Comey. The Nasdaq on the other hand, which is heavily concentrated with technology stocks, dropped 113 pts and had its worst week in 2017.
The Fannie Mae 3.5 coupon closed at 103.05 , roughly 40 bps worse than where it was . 40 bps translates into roughly $1,000 in discount points to the consumer on a $245,000 loan amount…Meaning that if say a rate of 4.25% cost 0 , by would cost $1,000 to lock in the rate.
Southern Nevada Real Estate
GLVAR reported that 3517 single family homes were sold for the month of May, up nearly 23% from April of this year and up nearly 30% from May of last year. Not surprising considering April was down from April of last year. The median sales price reached $250,000 (this does not include condos and town homes), which is up over 9% from May 2016. Healthy annual appreciation rates are generally speaking reached at 2-3% in a year, so certainly the limited inventory is having an impact on prices and there is no relief in sight. A reported 4,972 single family homes were on the market without offers, down nearly 35% from the same month last year.
Have a great week!!