The State of Chatsworth Real Estate

This is an extraordinary moment in real estate. Still. But no one really knows how much longer this moment will last. And once this moment does in fact end the general consensus is that it will not return in our lifetime.

Real estate prices for residential properties are still extremely cheap. That fact, coupled with historically low interest rates, makes this moment a unique opportunity for all buyers, but particularly first time buyers.

Sellers should be heartened by the fact that many properties are the subject of multiple offers. My most recent listing received 15 offers before the transaction entered escrow. This fact would seem to indicate prices will be rising in the foreseeable future. Keep in mind, too, that May begins the earnest real estate shopping season for most buyers.

Contrary to popular myth, lenders are making loans. What they are not doing is making irresponsible loans, at least not on purpose. You have to have a stable income, you have to have enough money in the bank to make a down payment, and you have to have decent credit. FHA makes home purchase loans with a 3.5% down payment, and you don't have to be a first time buyer for this loan. FHA also tends to be more tolerant of previous credit problems that have since been resolved than do lenders in a conventional loan.

As a buyer, before you go shopping for your perfect home, make sure you are pre-approved (not pre-qualified) with a reputable lender. Ask your real estate agent for lender referrals. Being pre-approved will make your offer stronger in the event of multiple offers.

And remember, everything in real estate is negotiable.