Quadrant homes

Mortgage rates are rising. The rate of 30-year mortgage loans jumped from 3.81 percent up to 3.91 percent, the highest it has been since March of 2012. The 15-year mortgage loan also rose from 2.98 percent up to 3.03 percent, making it the highest since last May.

Many experts believe that the rise in mortgage rates is being fueled by concerns that the Federal Reserve is scaling back its bond purchases. Mortgage rates typically follow the increase on the 10-year note (government bond), which is at its highest level in over two years. However, with the speculation that the purchase of bonds will slow down, investors have driven rates up.

How Will This Affect the Housing Market?

It makes sense that with higher mortgage rates, fewer people will be applying for mortgages. According to the Mortgage Bankers Association, this is exactly what has happened. While this may lead some to believe the housing market is falling, the reality is the exact opposite. Both home prices and sales increased throughout the United States from April through late May this year. Multiple areas even noted that home sellers were receiving multiple offers on their homes.

In fact, now is the best time to buy your new home! Current interest rates are still at historic lows.

Check out one of Quadrant Homes’ many beautiful blossoming communities in the Seattle Area.

Quadrant Homes is excited to announce the opening of our new Sonterra community in Lake Stevens. These Lake Stevens new homes come with tree-lined streets, neighborhood walkways, and breathtaking views of the Olympic Mountains. Best of all, Sonterra is located just minutes from Hwy 2, I-5, Hillcrest Elementary, Lake Stevens Middle school, and multiple popular Lake Stevens high schools.

About Our Lake Stevens New Homes

Sonterra floor plans range from 2,200 square feet to 3,600 square feet and are designed to accommodate a family of any size. Homes also come with large, fenced, private yards and professional landscaping. There are 44 beautiful home sites total and they are expected to be snatched up quickly!

Find your home online or contact Quadrant Homes by phone at 866-784-6637 to find Seattle new homes throughout western Washington.

If you’re in the market for a new home, now is the time to take action. According to S&P/Case-Shiller home-price indices experts, home prices in 20 major U.S. cities have risen 10 percent over the past year. This latest jump marks the largest home price increase since 2006. What’s more, Seattleites in particular received some especially good news. According to a recent Seattle Times article, “Home prices in Seattle rose faster between February and March than in 18 of the 19 other cities tracked in a national index.”

Reasons for the Price Increase and Housing Market Recovery

The recovery seems to be spurred by the fact that demand for homes is beginning to exceed supply. According to the Seattle Times article, “A growing number of buyers are bidding on a tight supply of homes, driving prices higher and helping the housing market recover.” Many experts attribute this new demand to recent job gains and lower mortgage rates. The Seattle Times article explains,“Despite the gains, a limited number of homeowners are putting their houses on the market. That’s helped lift home prices. And it’s made builders more willing to ramp up construction.”

Find Your Perfect New Home

A Seattle home builder, Quadrant Homes builds beautiful communities in Seattle and the surrounding areas including Duvall, Kent, Lacey, Lake Stevens, Federal Way, Bothell, Mount Vernon, Port Orchard, Poulsbo, Puyallup, and Gig Harbor.

U.S. homeowners finally have something to celebrate, for over a year now there’s been consistent good news on the housing front. Prices are up, sales are accelerating, and new construction is coming along. There are many reasons we can expect U.S housing sales to keep rising. Here are five of the most important:

Lower Unemployment

It’s no secret that more income equals more purchasing power, especially when it comes to home buying. Due to increasing job creation and the building of more new homes, a new-found demand has been placed on the housing market, making it a great time to buy.

Higher Demand for Investment Homes

We can expect to see a rise in the number of investment and vacation homes purchased by consumers. An investment home is one that is purchased with the intent of receiving a financial return. With an increase in household wealth and consequently disposable income, the number of vacation home purchases will increase.

Home Inventory is Low

With demand increasing, there aren’t enough homes available for buyers to purchase now. Inventory is the lowest it has been in nearly 13 years which is why companies are building more new homes. In addition, the lack of inventory is driving home prices upward, sometimes into double-digit gains. In fact, it is estimated that home prices will increase by 8% this year.

Renters Eligible to Become Homeowners

According to the National Association of Realtors (NAR), 51% of people renting are now qualified for a home mortgage. In 2005, this number was at a mere 24%. At a recent residential forum, Lawrence Yun, chief economist for the NAR stated that, “This means there are about 8 million more renters with the income necessary to buy a home now than in 2000.” These statistics mean that the potential to convert renters into homeowners is better than ever before.

Credit Scores Are Balancing Out

Yun of the NAR also stated that requirements for home loans are dialing back. After the 2009 collapse, the average credit score required to get a home loan reached as high as 770. Today, the average is down to 720. Furthermore, in a measurement by BankingMyWay’s weekly mortgage rate tracker, mortgage rates are down to a low 3.17% this week.

Now is a Great Time to buy a New Home

A Seattle home builder, Quadrant Homes builds beautiful communities in Seattle and the surrounding areas including Duvall, Kent, Lacey, Lake Stevens, Federal Way, Bothell, Mount Vernon, Port Orchard, Poulsbo, Puyallup, and Gig Harbor.

At Quadrant Homes, we pride ourselves on giving back to the community. Right now, Quadrant employees are working together to raise funds for Payton’s Pals. This non-profit organization is dedicated to spreading awareness and promoting acceptance of individuals with Down syndrome. Best of all, every cent raised for Payton’s Pals will go directly towards supporting the Down Syndrome Community of Puget Sound and the annual “Buddy Walk.”

Buddy Walk 2013

The Buddy Walk, originally developed by the National Down Syndrome Society in 1995, celebrates Down Syndrome Awareness Month in October and has enjoyed a great deal of success in the past. According to Craig Schuldt, Community Sales Manager at Quadrant Homes, “In 2011…more than $11.2 million was raised nationwide to benefit local programs and services, as well as the national advocacy initiatives of NDSS that benefit all individuals with Down syndrome.” Schuldt is urging employees and community members to give what they can and emphasizes that “every penny, nickel, dime, quarter and dollar will add up.” For more information visit the Down Syndrome Community website. Everyone is welcome to participate!

Environmentally conscious builders have been telling buyers for years that owning a green home is cheaper in the long run. However, there has never been enough hard data to prove these claims until now.

A New Study

A new study led by Nikhil Kaza, a University of North Carolina researcher, attempts to quantify the connection between energy efficiency in homes and the risk of defaulting on home loans. The study takes a look at 71,000 occupied single-family homes and compares those without an eco-friendly rating to the 21,000 with Energy Star certifications. In order to account for the mortgage crisis, the study uses home loans that originated between 2002 and 2012. In addition, they also control for variables such as average neighborhood income, climate, unemployment rates, house size and age, and credit score.

The Findings

The study uses real loan performance data supplied by industry leader CoreLogic and finds that the average default risk is 32% lower for owners of energy-efficient homes. The study also suggests that the higher the energy efficiency of a home, the less likely the homeowner is to default.  In essence, the study seems to indicate that with significantly lower energy bills, homeowners have more money to devote to mortgage payments, making it less likely that they will default on their home loan.

Now what?

Thinking about buying a new home? Protect yourself by purchasing an environmentally-friendly home. Not only will you help the environment, you will also save money on energy bills and maybe even decrease the chance of defaulting on a mortgage. Looking for more information? You can download a copy of the study here.

Thinking about buying an energy-efficient new home? Visit Quadrant Homes and find your home in the greater Seattle area. Quadrant new homes offer Energy Star washing machine and refrigerator options as well as other standard EnergySmart features! Contact us today at 866-784-6637.