In the midst of this presidential campaign season, a lot of people have asked how the latest round of quantitative easing (also known as “QE3”) will impact real estate market, particularly short-sales. Without getting into a complex definition as to what QE3 means, for the short-sale seller, the impact of the QE3 is that mortgage interest rates –provided there are no major hiccups in the economy – will remain low up until 2015. This is significant as it usually takes about two (2) years for a short-sale seller to be able to get another home loan secured by a mortgage. (This of course is assuming that the said seller’s credit in other areas (e.g., credit card payments, or car loans) is good). By rates staying low until 2015, it will enable people who sold their homes via short-sales prior to the year’s end, to rebuild their credit and get back into the real estate market at reasonable interests rates. Again, many things can happen which can change this outcome, so this article should not be relied upon as legal or financial advice. For more information regarding QE3 as well as your situation, please contact a financial advisor or an attorney.
*The information in this blog posting is for general information purposes only. Nothing in this blog or associated pages, documents, comments, answers, emails, or other communications should be taken as legal advice for any individual case or situation. The information in this blog is not intended to create, and receipt or viewing of this information does not constitute, an attorney-client relationship.