Tuesday , 28 June 2016
Home » Author Archives: Steve Cook

Author Archives: Steve Cook

Soaring Entry-tier Values are Closing the Doors to Homeownership

shutterstock_194874257

Shortages and soaring prices are now driving up values for first-time buyers, closing the door to homeownership even more with each monthly market report. At 8 percent a year, entry-level home values rose at double the rate of top-tier homes over the past year, reaching $104,600 in May, compared to $340,100 for the median top-tier home, according to the latest ... Read More »

Rental Cost Crisis Worsens as Ownership Improves

shutterstock_420854263

The percentage of renters paying more than 30 percent of their income on housing costs is increasing while cost-burned homeowners are decreasing, according to the 2014 State of the Nation’s Housing report released yesterday by the Harvard Joint Center for Housing Studies. On the owner side, the number of households facing cost burdens has fallen steadily as high foreclosure rates ... Read More »

All You Need to Know to Master Market Literacy

shutterstock_411295921

  Perhaps the most valuable lesson that real estate consumers learned from the housing crash was that home values can fall as well as rise.  More than seven million families lost their homes to foreclosures and short sales; a brutal wake-up calls that though homeownership is safer than most investments it still involves risk.  Today’s buyers are very aware that ... Read More »

Five Good Reasons to be Cool Over Higher Interest Rates

homer

One of strongest drivers of demand in today’s housing markets is buyers’ fear that interest rates will rise, and they will never again see rates as low as they are today.  That’s one reason the first-time buyer volume of government-guaranteed mortgages, low down payment loans like FHA and Freddie Mac’s Home Possible Advantage program surged 18 percent in April.[1] Buyers ... Read More »

Few New Home Sales Target Lower Price Tiers

shutterstock_259385300

\ Sales of new homes surged in April, jumping 16.6 percent to a seasonally adjusted annual rate of 619,000 units, the highest level since January 2008. The percent increase was the largest since January 1992, according to the latest data from the Department of Commerce. Sales were 16.6 percent (±15.4%) above the revised March rate of 531,000 and is 23.8 ... Read More »

First-timers show signs of life

shutterstock_348632753

Since unexpectedly shrinking from a 40 percent to 30-percent share of home sales three years ago, the lowest level since 1987, first-time buyers have baffled the experts and raised questions about why Millennials are becoming homeowners at a slower rate than previous generations. This spring, as the clock ticks down on record low-interest rates and incomes slowly improve, first-timers are ... Read More »

Economists say Shortages, not Economic Growth, are Driving Home Prices

shutterstock_421944781

  Tight inventories of homes for sale rather than economic factors, like rising income levels  or low interest rates, are driving higher than expected increases in home prices.  Yet recent low interest rates are not creating an unsustainable increase in home values, concluded the more than 100 housing economists and experts participating in the latest quarterly Zillow Home Price Expectations ... Read More »

Chinese Residential Purchases Soar

shutterstock_198470849

Chinese nationals are the biggest foreign buyers of American homes, purchasing homes valued at $93 billion in the past five years, including $28.6 billion in 2015 alone according a new report released today by Asia Society and the Rosen Consulting Group. Chinese buyers spent at least $93 billion on residential real estate between 2010 and 2015. Spending rose at an ... Read More »

Sellers Scale New Heights

shutterstock_340068791

In March, sellers sold their homes for the highest average gain in price since December, 2007, the eve of the housing crash, according to a new report from RealtyTrac. This new peak is one of the most convincing achievements to date demonstrating how the housing recovery has turned around the fortunes of homeowners who suffered through nearly a decade of ... Read More »

The Mortgage Interest Deduction: Is the Sacred Cow Worthless?

sacred cow

Chronically low interest rates may have accomplished something that the housing lobby has spent millions of campaign contributions and decades of political pressure to prevent. Did the mortgage interest deduction, long the holy grail of homeownership, become worthless eight years ago when low rates and falling prices so reduced the value of the interest that owners can deduct that the ... Read More »

Earn a 25% Commission Rebate on Any Home Purchase!

Hide