Don’t Assume Too Much

/

Did you know a buyer can assume the balance on a seller’s home mortgage loan at their current interest rate? Well, if it sounds too good to be true, it might not be. We’re here to sort out the pros and cons.

CHIC (Pearl)

The most obvious benefit to the buyer would be assuming a mortgage with a lower interest rate than what they could expect to get with their credit history. It’s a good concept for the times we live in, when the added costs of buying a home can be overwhelming for many people. The program is limited to loans from the Federal Housing Administration or VA, and the buyer must be ready and willing to throw in a down payment determined by the total cost of the home. You’ll also need an amenable loan servicer, or the whole plan might fall through.

GEEK (Kevin)

Even if a buyer can swing it, they can only assume the current loan balance to get the lower interest rate. If the purchase price ends up higher than the loan balance, the buyer will need to take out a second loan to make up the difference — or come up with the cash. Either way, the numbers don’t add up, especially when we’re talking about deltas of hundreds of thousands of dollars. That’s why it’s difficult to impossible to find a loan servicer willing to accept a lower interest rate than they could get from a brand new loan to the buyer.

Catch a buzz!

/

In honor of National Coffee Day today and International Coffee Day on Sunday, we’ll send you a bag of the Geek’s home-engineered coffee beans when you refer your friends or family to us. Just another way we treat clients like family!

And if you’re one of the two thirds of Americans who drink coffee daily, you’ll probably be hunting for a free cup of java in honor of National Coffee Day. USA Today has the lowdown on where to go, and which countries drink the most coffee around the world.

Diversity is Our Identity

/

The Census Bureau recently released data from their American Community Survey (ACS) for 2022, and some interesting numbers pop out in Santa Clara County. For example, 62% of households are single family homes, and 60% of housing units were constructed prior to 1980.

An astounding 41% of the county’s residents are foreign born, and 55% speak a language other than English at home, making this one of the most diverse communities in the country — and the world.