Compare Properties

You can compare only 4 properties
Compare Reset
Own St. George – Southern Utah Real Estate Guide
  • Questions? Call Kevin(435) 705-3356
  • Emailkrichey@erabrokers.com
  • Sell your home
    • Selling Your Home In The Christmas Season
    • Price Price Price
  • Find a Home
  • Real Estate 101
    • Understanding The REPC
      • Real Estate 101 Purchase Price
      • Real Estate 101 Agency
      • Real Estate 101 Buyers Due Diligence
      • Real Estate 101 Sellers Disclosures
      • Real Estate 101 Earnest Money
    • New Home Buyers Information
  • Market Report
    • 2015 Market Report
      • January 2015 Market Report
      • April 2015 Market Report
    • 2013 Market Reports
      • May 2013 Market Report
      • August 2013 Market Report
      • September 2013 Market Report
      • October 2013 Market Report
      • December 2013 Market Report
    • 2014 Market Reports
      • October 2014 Market Report
      • September 2014 Market Report
      • August 2014 Market Report
      • July 2014 Market Report
      • June 2014 Market Report
      • May 2014 Market Report
      • April 2014 Market Report
      • March 2014 Market Report
      • February 2014 Market Report
  • Reviews
  • Home Owners Tips
    • Home Owners Services
    • ERA Select Services
    • November Home Owners Tip
    • Concrete Leveling
    • Blog
  • Log In / Register

Credit Worthiness

  • Own St. George - Southern Utah Real Estate Guide
  • Blog
  • Short Sales
  • Credit Worthiness

Credit Worthiness

  • By admin
  • July 18, 2013
  • With 0 comments

Credit Worthiness is a term used to indicate if a person is capable of obtaining, or worthy to get, a loan. There are several factors that play into a bank being willing to loan a person money. The process has tightened dramatically in the last few years. Some people say that the entire housing crisis and subsequent drop in the real estate market was a result of poor lending practices. Many people were allowed to get loans, and for higher amounts than previously allowed. These loans were granted according to new government outlines.

architecture,builds,businesses,businessmen,constructions,Fotolia,homes,houses,investments,invests,loans,miniatures,models,Photographs,properties,purchases,real estate,real estate agents,residential,sales

Housing Bubble

This increase in people that were able to buy houses created a balloon, or a bubble effect. This led to houses increasing to many times their actual values. When the inevitable happened, and people could no longer afford the houses they purchased, the market was flooded with millions of dollars vacant over priced houses.  As a  result of this bubble bursting there was a housing price correction. Real estate values plummeted everywhere. Banks and lending institutions across the country were left with over priced houses, and loans that would not be paid back. It has taken our great country many years to work out of this housing crisis. Prices, and real estate values are nearing, or back to, pre-bubble days. The current growth in the real estate market seems to be more sustainable than the growth leading to the mess we were previously in. Leading real estate economist, believe this year will continue to enjoy fairly good price increases, with prices leveling out in the next two to three years.

Now What?

The result of these problems mentioned are a series of new lending and appraisal practices. A person wanting to get a loan, now has increased scrutiny and more hoops to jump through. We have included guidelines courtesy of Patriot Mortgage. Unfortunately many people have damaged or destroyed their credit as a result of the real estate crash and associated problems. The attached link might be helpful in determining a home buyers credit worthiness.

2013 Realtor Booklet-quick guide copy

It is a good idea to learn what type of house a buyer is qualified to purchase. It is also important to monitor interest rates. This is significant because when interest rates go up, so do monthly payments. If a person was pre approved for a house with a monthly payment of $1,000 and interest rates jump a percent, they may need to adjust the price range they are looking in. Most lenders are willing to give this updated information with relatively short notice. It can save a lot of time looking for  a house when the field is narrowed to houses in the buyers price range.

Post navigation

Previous Post Medical Care in St George Utah
Next Post Home Owners Associations HOA’s

Related Posts

St George Health Care

St George Health Care is among the finest in the country. In a Consumer Reports article St George area Dixie

Read More

Cottam Cove

Cottam Cove is a new subdivision in the St George Real Estate market. It is located on River Road across

Read More

Got Any Question?

If you are having any questions, please feel free to ask.

Drop Us a Line

Recent Posts

  • Buying A House
    November 8, 2017
  • Home Inspection
    April 28, 2016
  • Utah Local Tax Rates
    March 15, 2016

Social

Search From Anywhere

Take your search on the go and access your saved homes and searches from anywhere. Try it for free and get notifications directly on your phone about new homes on the market!

Search Properties

Contact Kevin

Phone: (435-705-3356)
E-Mail: krichey@erabrokers.com

St. George Area Of Commerce

 

Follow Me On Trulia

Follow Me On Zillow

© Copyright 2020 OwnSg.com · All Rights Reserved · Developed by Premier SEO