Does the Mortgage Meltdown Situation Affect Kitsap County

The answer is "yes." But the real question is how should buyers and sellers proceed with their purchase and sale of real estate?

We've managed to get into similar messes in the past as cycles change. And they always do! This type of problem most likely occurs when money (credit) becomes easy.

My advice is this: if you're selling, understand that the buyer may be eminently qualified for the loan for which they've been approved; but periodically check with the mortgage lender to ensure "things" are progressing to meet time limits of the sales contract. If you're buying, contact your lender and follow-up weekly. And be honest with the sellers. Address any problem as soon as it becomes apparent. Don't wait!

A word about mortgage lenders and brokers. A broker most likely forwards the loan to another company that actually provides the money for the mortgage loan. Mortgage lenders usually fund their own loans, but then package them and sell those loans to investors on the secondary market. The question to ask: "who is funding my loan?"