Richmond Virginia Gets a Great Deal on Mortgage Rates this month
Richmond, Va. – May 7, 2009 In a time when both the financial and real estate markets are suffering from a recession and credit crisis, First Market Bank is helping to stimulate the Richmond Virginia economy by offering special residential permanent financing at 3.99 percent. Jumbo loans are also available at 5 percent. Both loans require a 1 percent origination fee.
These affordable 30-year fixed rates, which are good until May 31, 2009, are for new home or condominium purchases and also include the construction of new homes. Qualified loans are for existing properties financed to local builders and developers by the Richmond Virginia Bank First Market Bank and are for owner-occupied purchasers only.
The availability of such low interest rates should provide a boost for local builders and developers and an incentive for potential homebuyers. The stability of the fixed rate gives yet another compelling reason for buyers to make a home purchase.
“We have seen the impact of the current recession on local builders and homebuyers here in the Richmond area. People have been tentative because they were uncertain about financing,” said Dave Fairchild, chief executive officer of First Market Bank. “Our special financing will really help those buyers to move forward with confidence. That’s good for the buyer and for our local economy.”
Rich Napier, president of Napier Signature Homes, is one local custom builder promoting the special financing through First Market Bank. “We understand that these are tough economic times,” said Napier, whose family has been in the Richmond real estate business for 51 years. “This program is a great example of lenders and builders working together to make owning a new home more affordable.”
Nancy Dearnley of Youngblood Properties, a local builder, and Scott Dearnley of Joyner Fine Properties already have benefited from the program with three potential buyers. “This program has encouraged people to get off the sidelines to buy or build a home because it’s such a great deal,” said Nancy Dearnley. “They are seeing this rate as a once-in-a-lifetime opportunity.”
Scott Dearnley added, “When you break it down into dollars and cents, on a $400,000 loan for 30 years — comparing a 5.25 percent rate to a 3.99 percent rate — the consumer will save just over $300 per month. Looking at it from a total savings, assuming a rate of 5.25 percent, the purchase price of the home would have to decrease approximately $55,000 to achieve the same monthly payment that you get with a 3.99 percent rate. Any way you look it, the purchaser wins.”
About First Market Bank
First Market Bank was founded and is headquartered in Richmond Virginia. Now celebrating its 12th anniversary, the bank has grown to more than 300 teammates and a network of 39 full-service locations (including 25 in Ukrop’s and 14 freestanding branches). It has more than $1 billion in deposits and offers a full range of retail and commercial products including mortgage, trust and investment services. www.firstmarketbank.com
Please note: A forward-rate commitment will be issued on custom homes to be built on existing builder- financed lots. Construction must be complete within 12 months and all applications must be made by May 31, 2009. Certain underwriting and loan-to-value restrictions apply. First Market recommends interested parties contact a local builder for qualified properties.