The Charlotte, NC. real estate marketing is on the upswing. Some of the activities is due in part to a seasonal change. However as the unemployment figures move downward, we will continue to see an increase in activity in the housing market here in Charlotte, NC.
The rental market in Charlotte, NC. has been an area that has seen great growth throughout the financial crisis. Charlotte available rentals are hovering around 86% full. With foreclosures being predicted to continue to come onto the market at high rates through the 1st and 2nd quarters of 2011. The rental market will continue it’s climb towards 90 to 95%. Which means rental rates will continue to climb. I have reports now that it is nearly impossible to find a rental below about $750.00 for a 2 bedroom in most areas in and around the Queen City.
With every cloud there is a silver lining. And that seems to be the case with the local housing market. A person just need to know where to look, or be shown where to look. Usually when the financial market i.e.
banking industry tighten it’s lending requirements and end some of it’s products, loans. The national and local economy begin to become stagnant or decline. Because businesses find it harder to get capital to expand which means fewer to no hiring or job creation. The government begin to look for ways to stimulate the economy.
A growing number of state and local governments are now offering what are called “down payment assistance programs,” grants or low- and no-interest loans to first-time buyers or those who haven’t owned a house in a few years. The number of programs, now somewhere around 1,000 nationally, has increased 3% to 5% in the last six months alone, estimates Marc Savitt, president of the National Association of Independent Housing Professionals, an advocacy group. And, in a stark reversal, some banks are now far more willing to work with borrowers who need down payment assistance, buyers who were considered too risky 18 months ago. State housing agencies say they’re seeing the biggest spike in lender interest since before the housing downturn.
For would-be buyers who qualify, this is a boon. Even with home prices down a 20% down payment is out of reach for many, yet that’s what many banks require. These programs are targeted at low- and middle-income buyers who have either never owned a home, or haven’t owned one in a few years. And then the benefits are substantial: Typically, the programs offer up to $80,000 in loans with interest rates from 0% to 2% to people with little or no money to put down. And then, because participants often have to get their mortgage through the programs’ preferred lenders, the primary mortgage rates are also low, often 0.75% to 1% lower than average rates. That can be a better deal than Federal Housing Administration-insured mortgages, which require annual mortgage insurance and an upfront fee, and may have higher interest rates. Even for cash-strapped states these programs are apparently worth the cost. This is a way to boost homeownership, something they say leads to more jobs and higher home prices. The Department of Housing and Urban Development increased its support to local agencies down payment assistance programs by 16% in its last fiscal year to $44 million.
Charlotte has a program that help with down payment assistance. Many of the neighborhoods in and around Charlotte are eligible. The program is the NSP (Neighborhood Stabilization Program). One thing that isn’t widely published about this program is the household income levels vary. Many assume incorrectly that these programs are for low income wage earners. On the contrary these programs can be utilized by low to middle income wage earners. Also there are programs for policeman, fireman and teachers.
I would like for anyone with information or lenders participating in the Charlotte Neighborhood Stabilization Program to contact me. We need to get this information out, otherwise this money go unused and most of the time returned to the government. We have people who could use this hand up.