Trace Says Its a Good Time To Buy!

A reader wrote in:

I thought Urbnlivn’s readers might get a kick out of this note from Trace’s sales department. I admire their optimism, but they’re going for a Pulitzer Prize in chutzpah with their message: rates are down thanks to mortgage-related bank collapses, so you should borrow more money!

Here’s the email:

Dear J.,

We hope that this finds you well and enjoying these last days of summer. It is likely that you’ve heard recent news about the Federal Government’s take over of the troubled Fannie Mae and Freddie Mac. At Trace we help you keep up with current events, share industry rumblings, and work in partnership with our lending partner, Mark Anderson at Wells Fargo, to bring you information to help you make your purchase at Trace more valuable.

What happened? An overview. Last week, the Federal Government took control of the troubled Fannie Mae and Freddie Mac, which together buy and trade almost half of the mortgages in the U.S. The takeover’s objectives include stabilizing and returning these entities to solid business operations.

Many financial experts believe that the move to intervene Fannie Mae and Freddie Mac was needed to secure financial system stability as the two enterprises were suffering from the market’s downturn. Without intervention buyers would continue to see the disappearance of affordable loan programs, such as those with lower down payments. Currently lenders are increasing down payment minimums and requiring higher credit scores, making qualifying difficult, and limiting the number of homes being purchased.

What does this mean to you, the home buyer?
* In the short term, interest rates have already dropped! Average 30-year fixed rates went from 6.35% to 5.93% – nearly half a point drop.

* With interest rates easing, we may see home prices stabilizing and building positive equity as more homebuyers are able to purchase.

* Even with tightened credit standards, many financing options for the home buyer remain available.

How can you benefit now?
The current financial state of the mortgage market actually foretells higher interest rates in the future; projections predict that rates could rise almost a whole point to 6.85% by the end of the year.

Current lower interest rates maximize your purchasing power at Trace now.

For example, Trace North #212, a one bedroom living space, is priced at $285,000. At an interest rate of 6.85%, the resulting monthly principal and interest payment is $1,680.

With the current rate drop, you could upgrade from a one bedroom to Trace North #414, a one bedroom with den, priced at $315,000 for the same payment. You’ve effectively increased your purchasing power by $30,000. Recent market changes, together with government action, have opened a window of opportunity for buyers. The takeover of Fannie Mae and Freddie Mac, just made purchasing at Trace more affordable for you.

Over the long term, as current buyers take advantage of these opportunities, the demand for real estate in job centers like Seattle will increase, which in turn will decrease the supply of in-city homes. Now is the time to grab your living space at Trace!

As always, we are here at Trace to be of service to you. If you have any questions or would like to take a closer look at your personal financial situation, please give us a call at 206.404.LOFT or email us at [1]info@tracelofts.com.

Best regards

About Matt

Matt , Urbnlivn's publisher, has a love for lofts, floating homes and mid-century moderns.

For years Matt resisted becoming a real estate agent preferring to be an executive in the startup world but he recently caved in the spring of 2014 and became an agent.

You can also find Matt on Twitter or skiing.

  • jo

    Just…wow. That CAN NOT be real.

    I don’t even know where to start.

  • jo

    Just…wow. That CAN NOT be real.

    I don’t even know where to start.

  • Dan C

    Trouble is….people believe this crap.

    “I had better hurry up and get as much condo as I can RIGHT NOW! Everyone wants to live in Ballard! It’s not like there are 100 condos within a two block radius for sale…right?”

  • Dan C

    Trouble is….people believe this crap.

    “I had better hurry up and get as much condo as I can RIGHT NOW! Everyone wants to live in Ballard! It’s not like there are 100 condos within a two block radius for sale…right?”

  • just another dirty renter

    and can you believe what they’re asking for rent at Trace? 2650-3200! These people are nuts.

  • just another dirty renter

    and can you believe what they’re asking for rent at Trace? 2650-3200! These people are nuts.

  • http://weill.org Jason

    jo:

    I got the message in my inbox the other day and couldn’t believe it myself.

  • http://weill.org Jason

    jo:

    I got the message in my inbox the other day and couldn’t believe it myself.

  • Anonymous

    In time this company and this offer will appear as they really are — rubble and blather.

    Bad news: “Trouble is.people believe this crap.”

    Good news: Almost all of those people are already in foreclosure.

  • http://americandigest.org Vanderleun

    In time this company and this offer will appear as they really are — rubble and blather.

    Bad news: “Trouble is….people believe this crap.”

    Good news: Almost all of those people are already in foreclosure.

  • Justin

    They are under the gun. They have a number of buyers (myself included) with offers pending on them meeting the 51% owner occupy FHA requirement… It doesn’t look like they are going to make there very soon.

  • Justin

    They are under the gun. They have a number of buyers (myself included) with offers pending on them meeting the 51% owner occupy FHA requirement… It doesn’t look like they are going to make there very soon.

  • http://www.mikeplummer.com Mike

    Interestingly, the letter mentions that the Fannie Mae / Freddie Mac takeover happened last week. Actually, this occurred on Sept 8th, more than 2 weeks ago.

    When was this actually sent out? Funny it doesn’t mention what happened last week! Funnier still if the marketing people sat on the mortgage email for a week before sending it out and still thought it was a good idea.

  • http://www.mikeplummer.com Mike

    Interestingly, the letter mentions that the Fannie Mae / Freddie Mac takeover happened last week. Actually, this occurred on Sept 8th, more than 2 weeks ago.

    When was this actually sent out? Funny it doesn’t mention what happened last week! Funnier still if the marketing people sat on the mortgage email for a week before sending it out and still thought it was a good idea.

  • http://blog.mattgoyer.com Matt

    I believe it was sent out on Friday the 19th.

  • http://twitter.com/mattgoyer mattgoyer

    I believe it was sent out on Friday the 19th.