Recently Time magazine ran an article suggesting that buying a home is not a wise investment. This isn't the first time that credible news sources have cast dire predictions about the housing market.
The Miami Herald said, "If you are looking to buy, be careful. Rising home values are not a sure thing anymore."
Money magazine said, "Mos economists, agree... a home will become little more than a roof and a tax deduction, certainly not the lucrative investment it was."
Kiplinger's Personal Financial Magazine said, "Financial planners agree that houses will contiue to be a poor investment."
These three quotes are not recent; they were printed between 1947 and 1993. They may have seemed true at the time but each time the real estate market not only recovered, it was followed by a boom.
It is an incredible time to be a home buyer.
Jim
Saturday, October 30, 2010
Monday, October 4, 2010
Home Equity
Recently the Federal Reserve reported that homeowner's net equity holdings have increased from $5.9 trillion to $7 trillion for the time period spanning the first quarter of 2009 to the end of the second quarter 2010.
How could this be happening when many homeowners are underwater with their mortgages? Some homeowners, not most to be sure, have experienced an increase in value of their homes during this 15 month period. A few parts of California have actually seen some double digit rises in price after being hammered. Some of the increase in equity is due to homeowner improvement and some of it is due to homeowners paying down their mortgage balances.
Hopefully the housing market has bottomed out here in our area. For a variety of reasons, total household debt in our country is declining. This is good news.
How could this be happening when many homeowners are underwater with their mortgages? Some homeowners, not most to be sure, have experienced an increase in value of their homes during this 15 month period. A few parts of California have actually seen some double digit rises in price after being hammered. Some of the increase in equity is due to homeowner improvement and some of it is due to homeowners paying down their mortgage balances.
Hopefully the housing market has bottomed out here in our area. For a variety of reasons, total household debt in our country is declining. This is good news.
Friday, October 1, 2010
Low Down Payment Options for Buyers
Homes have lower prices today than they did two and three years ago. If you are thinking about taking advantage of this great opportunity but are concerned about the downpayment take a look at the Home Possible 97 Mortgages program. You can get in a home for a very small amount down. This program is open to first time buyers, move up buyers, or someone looking to downsize.
I write a fishing blog called Mr. P.'s Blog and an inspirational blog called A Few Words. Check them out.
You can see my real estate web page at HomeProResults.com It is loaded with useful tools for both buyers and sellers. When you are ready to buy or sell a home, give me a call; I'll take good care of you.
I write a fishing blog called Mr. P.'s Blog and an inspirational blog called A Few Words. Check them out.
You can see my real estate web page at HomeProResults.com It is loaded with useful tools for both buyers and sellers. When you are ready to buy or sell a home, give me a call; I'll take good care of you.
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