Naturally, potential home buyers become more concerned about affordability conditions as prices and mortgage rates rise. And since the past few years have seen both things happen, there's been increasing concern about whether or not now is a good time to buy a house. That's not to say there hasn't been demand for homes. In fact, there are plenty of interested buyers and not enough homes to accommodate them, which is why prices have been rising in the first place. But recently, there's been more data suggesting that … [Read more...]

Sales of previously owned homes were unchanged from the month before in August, according to new data from the National Association of Realtors. The number of available homes for sale was also flat, with unsold inventory at a 4.3-month supply at the current sales pace. But, though there was little change in the numbers, Lawrence Yun, NAR's chief economist, says buyers may be getting ready to move. “Strong gains in the Northeast and a moderate uptick in the Midwest helped to balance out any losses in the South and … [Read more...]

According to the Mortgage Bankers Association's Weekly Applications Survey, average mortgage rates were up last week, with rates for 30-year fixed-rate mortgages with conforming loan balances at their highest level in more than seven years. But, despite the increase, mortgage application volume – which includes both buyers requesting loans to buy homes and refinance activity – actually increased from the week before. Could it be that buyers are looking to get into the market before mortgage rates move any higher? … [Read more...]

The new home market is an important indicator for anyone interested in making a move in the near future. Mostly, this is because the number of new homes being built and put on the market has an affect on home prices across the board. And so, keeping an eye on how confident builders feel can be a good way of gauging upcoming affordability conditions. For this reason, the National Association of Home Builders conducts a monthly survey of builders and scores their perceptions on a scale where any number above 50 … [Read more...]

When choosing where you'd like to live, there are a number of factors that you have to weigh. For example, some people may value privacy over convenience while others may prefer proximity to family and friends over entertainment and recreation options. In short, it's a personal choice. And a lot of times it comes down to whether you'd like to live in a city setting or the suburbs. This is a common debate and one that typically falls along demographic lines. In other words, where you are in life will determine where … [Read more...]

Buying a home is not something most people do very often. Unless you're a real-estate investor or have to move frequently for work, you're likely going to stay in the home you buy for more than a couple of years. In fact, recent data shows homeowners tend to stay in their house somewhere between 10 and 13 years. So it shouldn't be surprising that there are some common misconceptions about the buying process and the best way to go about finding and buying a house. But, according to a recent survey, one common … [Read more...]

In large part, home prices are a simple calculation of supply and demand. When there are more homes than interested buyers, home prices fall. When the opposite is true, home prices rise. In recent years, demand from potential home buyers has risen and the number of available homes for sale has not, which is why prices have gone up. To some extent, that's because builders have been building fewer new homes. There are a number of reasons for this, including the recession that followed the financial crisis, rising … [Read more...]

Mortgage rates, to some extent, are reactionary. And so, as the economy grows stronger, rates increase. That's been the story so far this year and, according to the latest results from the Mortgage Bankers Association's Weekly Applications Survey, last week was no exception. That's because, rates were up across all loan categories, including 30-year fixed-rate mortgages with both conforming and jumbo balances, loans backed by the Federal Housing Administration, and 15-year fixed-rate loans. Joel Kan, MBA's … [Read more...]

Choosing a house to buy is an important decision. After all, you're committing a lot of money and several years of your life to a particular property. And so, home buyers tend to know what they want, whether it be a large kitchen, an appealing outdoor space, or an ample amount of storage. But surprisingly, large majorities of home buyers spend too little time paying attention to the neighborhood surrounding the home they're considering. And, make no mistake, the neighborhood you move to will play an important role … [Read more...]

These days, just about everyone has some debt. It's almost more remarkable not to carry a balance of one type or another. In fact, a report last year found that 73 percent of consumers died with unpaid debts and, among them, the average owed was $62,000. That's a lot. But accruing debt over a lifetime is different than starting one already in the hole. And, unfortunately, many young Americans today find themselves in that situation. For the most part, student loans are responsible for the money millennials owe, but … [Read more...]