After resurrecting from the debris of the great financial crisis, housing mortgage giant, Federal National Mortgage Assctn Fnni Me (OTCBB:FNMA) has some piece of advice for the new home buyers. The housing entity’s economists Qiang Cai and Sarah Shahbad recommended new home buyers to look for the right mortgage lender.
Federal National Mortgage Assctn Fnni Me (OTCBB:FNMA) economists studied the results of the National Housing Survey conducted by it to find out that nearly two-thirds of buyers, who belong to higher income group obtained multiple mortgage quotes from the lenders. However, those buyers, mostly belonging to younger and lower income group, relied on the references from their friends to select a suitable lender.
The report outlined that 16% of young buyers below age 30 looked for multiple quotes as compared to just 5% of those above 50. On the other hand, buyers making more than $75,000 a year went for multiple quotes than 1% of those falling in lower income. The report suggested that experienced and existing home buyers did not get influence from the opinions or recommendations of their friends or a real estate agent. Contrarily, 31% of the first-time home buyers sought referral advice. Another exciting finding of the report was that nearly a third of the first-time buyers faced some unexpected changes during the final leg of the deal.
Following the assessment of the report, Federal National Mortgage Assctn Fnni Me (OTCBB:FNMA) economists encouraged new borrowers to shop around and negotiate the best terms in the market. They asked the borrowers to derive maximum advantage from the available tools in the marketplace and take advice of objective and knowledgeable third parties to let balance any tradeoffs. Also, the economists suggested home buyers to be willing to ask questions behind any referrals before relying on it.
Meanwhile, the stock of Federal National Mortgage Assctn Fnni Me (OTCBB:FNMA) traded flat during the last trading session and an average of 5.09 million shares traded on the day.