I wish people would stop asking me when I think real estate will make a comeback. I truly do not know, although I have my own wavering opinions of 2011, maybe the next year and never. The presentation of my daily opinions are based on things such as, the weather, how much it cost to fill up my gas tank and maybe if it is a good hair day. I filled up my Saab on Tuesday (30 bucks) and it was raining- so the market rebound -well sucked. Today, my hair is not at its finest, so not feeling too good about a rebound. Maybe next week.

What do I see as a comeback sign of the market?

Good solid well priced jumbo mortgages, I say!  This week I have seen some of the larger national lenders come out with nice jumbo mortgages. Not that we all want to borrow two million bucks, but it is nice to know it is there if you need it. After the upset in the mortgage industry, the only way you could get a loan amount over 700k was to pay very high interest rates and probably a bunch of points. You were also forced to put down a considerable amount of money on a purchase. (Of course there are exceptions for those mean people that take the time to write me nasty comments telling me I don’t know what I am talking about!)

This week, I have receive several bulletins from great lenders offering loan amounts up to 2 million dollars with 20% down on a home purchase. You can even get a 30-year fixed mortgage at around 6%. This is a very good deal that the banks are offering. Of course, you need excellent credit and a good debt to income ratio-so a job is a must now.

The point is if lenders are now willing to take a 30-year risk on a 1.5 million dollar plus consumer investment, are they starting to feel warm and fuzzy about the future?  If so, maybe we should too. I will remove my chicken little feeling for the weekend and enjoy the local weather!