Clark County WA Real Estate Blog

Agency refers to Agency Law. 
That means that when I work with a buyer or seller, there is an agency relationship established, and I have certain duties or responsibilities due to this relationship.
As a buyer’s agent…
I have a duty to exercise reasonable skill and care,  deal fairly and in good faith, to present all written offers, to disclose all existing facts,  to maintain confidentiality,  and to account for all money and property received.

As a seller’s agent…
I have a duty to be loyal to the seller, to disclose any conflicts of interest, to refrain from giving advise outside my areas of expertise, to maintain confidentiality, and to make a good faith effort to find buyers for their property.

An agency relationship continues until a property is sold or bought or a listing agreement expires. Even then, I still have an obligation to maintain confidentiality.

That’s it in a nutshell.

Good news today!
The loan limits for FHA loans were raised today, from $304,950 to $418,750.  This will really expand the use of FHA loans for home mortgages, and give home buyers more options.  FHA loans offer low downpayments,  low closing costs, and easier qualifying. 

Going forward, FHA will be a bigger player in the home mortgage market.
That’s good news!

Let the good times roll.
Only a short while ago, lenders were more than happy to give loans to home buyers without a job, with poor credit history, and without verified income. While common sense would tell you that these types of borrowers are very risky, a lot of lenders seemed to have checked their brains at the door. Why not? They were collecting huge loan fees, and weren’t too worried about the quality of their loan portfolio since they were packaged and sold on the secondary market.

What has changed?
In the last year, the mortgage market has gone through some turmoil,with many mortgage companies closing their doors. Investors stopped buying these dubious loans, packaged and sold as CDO’s. It has been a painful transition for some, but going forward it will help the remaining lenders be more fiscally responsible and prudent. And, credit worthy borrowers will still be able to get loans. That’s all good.

Today’s Mortgage Market
Today’s home buyer is most likely to puchase their home with a conventional loan, or an FHA loan.

Conventional Loans
Conventional, or conforming loans are fixed rate 15 or 30 year loans, with a lending limit of $417,000. These loans require good credit scores, stable job history, and a modest down payment-5% or more.

FHA
For those who cannot afford to put at least 5% down, an FHA loan may be ideal. FHA also offers loan programs such as the Ameridream and Nehemiah, which offer 100% financing, although these programs are going to be modified or phased out over the next few months. The FHA loan limits are $304,950 in Clark County.