Price Surge Sparks Major Dewey Beach, DE Jumbo Loan Adjustment

Throughout the U.S., the average value of a single-family residence has grown by double digits for more than two years.  Area homeowners have been rightly pleased to see how rapidly their own home’s market values have continued to appreciate. With increases at those levels, it’s only to be expected that sellers are delighted—but buyers, less so.Throughout the U.S., the average value of a single-family residence has grown by double digits for more than two years.  Area homeowners have been rightly pleased to see how rapidly their own home’s market values have continued to appreciate. With increases at those levels, it’s only to be expected that sellers are delighted—but buyers, less so. One of the inevitable fallouts is that buyers seeking home loans this fall need mortgages that are greater than ‘conforming’ loan limits. Fannie Mae and Freddie Mac guarantee to purchase loans from lenders when they qualify under the conforming loan guidelines. The quasi-federal behemoths enable loan originators to lower interest rates they offer Dewey Beach, DE home buyers when they promise to purchase them, lowering risk. But as home values have risen, home loan amounts exceed those limits. Such loans are then classified as ‘jumbos’—no longer purchasable by Fannie and Freddie. The added risk to the loan originators means higher monthly payment amounts for buyers.But help is on the way.Needless to say, both Dewey Beach, DE buyers and the sellers would like to see as many buyers as possible competing for their properties. The help that will arrive on January 1 comes in the form of a major adjustment in the conforming loan limit. Although the amount may fall short of the record increase set in 2006 (it was +15.9%), it will still amount to more than $75,000 in most markets.For sellers, it’s predicted to make an increase in what buyers can afford to offer. Jumbos aren’t just usually more costly—they also have stricter qualification criteria (such as higher down payment requirements and more stringent debt-to-income ratios). That seems likely. Already in some areas, lenders are confident enough that they will be able to sell larger loans to Fannie and Freddie by jumping the gun. They’re already said to be writing their own higher limit ‘conforming’ loan offers.As always, our Dewey Beach, DE market conditions are a study in motion. Call me for the latest specifics!  Call/Text me Russell Stucki at (302) 228-7871, email me at This email address is being protected from spambots. You need JavaScript enabled to view it., visit more listings at www.beachrealestatemarket.com.
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When is Delay in Selling a Gift?

When you find yourself in a maybe-I-should-list-now or maybe-it’s-better-to-wait standoff, the latter is the decision that usually wins out. The reason is what the high school science teachers told us was “momentum.” When ‘list now’ and ‘list later’ signals are equally compelling, the roll-up-your-sleeves positive energy that’s so useful when you finally do put your Bethany Beach, DE house on the market is usually absent. The science teacher would call it a ‘body at rest’ stage. It will take an infusion of energy to get things moving.When you find yourself in a maybe-I-should-list-now or maybe-it’s-better-to-wait standoff, the latter is the decision that usually wins out. The reason is what the high school science teachers told us was “momentum.” When ‘list now’ and ‘list later’ signals are equally compelling, the roll-up-your-sleeves positive energy that’s so useful when you finally do put your Bethany Beach, DE house on the market is usually absent. The science teacher would call it a ‘body at rest’ stage. It will take an infusion of energy to get things moving.When that’s the case, it’s possible to make the most of the situation. Rather than just being vaguely uneasy that moving onto a new residential chapter is stalled for the moment, this could be an opportunity to make the most of the moment. It can even mark the first glimmer of what will later become the energetic campaign that results in the sale of your Bethany Beach, DE house. The way to think of this period is as a gift—a gift of time. This is a chance you can profitably use to improve your Bethany Beach, DE property without having to jam it into a few hectic weeks.When many sellers ultimately decide it’s time to list, they take it as the opening gun in the selling campaign. Among other things, they get busy putting the finishing touches on the areas in their property that they always realized would need to be brought up to showing condition. And all too often, those finishing touches turn out to require the skills of our local Bethany Beach, DE professionals, whose services are scheduled in advance (increasingly nowadays, long in advance!). The result is either a delayed listing or showings where renovations are actively underway (not the choicest way to present a property). Even when some imaginative renewal (which can wind up being more like an ‘upgrade’) is completed just as the listing goes online, the proud owner often has the forehead-smacking realization, “why didn’t I do this long ago when I could have enjoyed living here more?” When, eventually, your Bethany Beach, DE house goes on the market, having put it in top shape comfortably in advance can work out to be the best approach. Call me at any time to discuss how I can help at any stage in the process! Call/Text me Russell Stucki at (302) 228-7871, email me at This email address is being protected from spambots. You need JavaScript enabled to view it., visit more listings at www.beachrealestatemarket.com.
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Just for Fun: Your Fenwick Island, DE Columbus Day Quiz!

Columbus Day in Fenwick Island, DE finds the government offices and banks closed, schools out, and the perpetual controversy over the holiday renewed for another year. By way of enjoying the partial day off, let’s skip the controversy and just have fun via a Columbus Day quiz! Columbus Day in Fenwick Island, DE finds the government offices and banks closed, schools out, and the perpetual controversy over the holiday renewed for another year. By way of enjoying the partial day off, let’s skip the controversy and just have fun via a Columbus Day quiz!1. Did Columbus believe the Earth is flat?a. Yesb. No wayc. No one knows for sure2. Did Columbus’s first voyage result in success?a. Yesb. He thought soc. No3. Was Columbus disappointed that he never sailed the Pacific Ocean?a. Yesb. Probablyc. Only moderately4. Columbus Day controversies began in the 1960sa. Yesb. Noc. Nobody knows for sure5. Columbus’ ships were christened the Nina, the Pinta, and the Santa Mariaa. Yesb. Not reallyc. No6. Did Columbus get ripped off by the Spanish monarchs?a. Nob. Yesc. The records were lost, so there’s no telling
These answers (assuming that the best answers are all ‘b.’) could use some explanation. 1. Columbus (and most educated Europeans of the time) understood that the Earth is round. 2. Columbus’ mission was to sail to India, and he thought he’d at least landed in Asia (Japan) until his third voyage, when he finally realized that he hadn’t. 3. He heard rumors about a ‘Pacific’ in 1502—ending his belief that only the Atlantic Ocean lay between Europe and Asia. 4. Controversies started in the 19th Century when anti-immigrant groups connected it with Catholicism. 5. ‘Nina’ was roughneck sailors’ salty nickname for the Santa Clara, while the actual name of the Pinta is unknown. The Santa Maria’s nickname was ‘La Gallega.’ 6. After his death, Columbus’ heirs sued the Spanish crown in legal proceedings that dragged on until they were finally settled in 1536. Call/Text me Russell Stucki at (302) 228-7871, email me at This email address is being protected from spambots. You need JavaScript enabled to view it., visit more listings at www.beachrealestatemarket.com.
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