Calculating whether or not you can afford to buy a house means examining your budget, spending habits, and how a mortgage payment might fit into your monthly expenses. Ultimately, it’s a calculation only you can make. After all, you’re the best judge of how much you’re comfortable spending. Still, there are several ways to get a sense of overall affordability conditions and how expensive it is to buy in today’s market. The National Association of Realtors’ Housing Affordability Index is among them and, according to … [Read more...]

The inventory of homes for sale has been lower than normal for years now. There are a number of reasons for this. One factor keeping inventory low is the number of homeowners who refinanced their loan when mortgage rates were at historic lows and, having locked in a low rate, are reluctant to move. But according to newly released numbers, there may be evidence that the “rate lock” that made potential sellers hesitant to list their homes has begun to ease. How so? Well, new listings of existing homes rose 21 percent … [Read more...]

According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates fell last week from the week before. Rates were down across most loan categories, including 30-year fixed-rate loans with both conforming and jumbo balances, loans backed by the Federal Housing Administration, and 15-year fixed-rate loans. Mike Fratantoni, MBA’s senior vice president and chief economist, says economic data was behind the improvement. “Mortgage rates dropped … last week for most loan types because of … [Read more...]

Lending standards aren’t fixed. That means qualifying for a mortgage can be easier – or more difficult – depending on when you’re applying for a loan. That’s why the Mortgage Bankers Association keeps a monthly measure of mortgage credit availability. Its Mortgage Credit Availability Index measures whether standards are loosening or tightening on a scale where any increase means it has gotten easier for borrowers to get a loan. According to the most recent index, access to mortgage credit improved in February, … [Read more...]

A new report from ATTOM Data Solutions looks at county-level housing markets across the country in an effort to determine which are the most stable and which face rising risks. The analysis was based on a number of factors including the percentage of homes facing foreclosure, the portion with loan balances that exceeded property values, percentage of local wages necessary to cover homeownership expenses, and local unemployment rates. The results show the country’s most stable markets located primarily in the South … [Read more...]

Fannie Mae’s monthly Home Purchase Sentiment Index is based on a survey of Americans which asks for their opinions about the housing market and overall economy. Specifically, respondents are asked whether they think now is a good time to buy or sell a home, whether they think prices and mortgage rates will rise or fall, and about their personal financial situation and job security. The most recent release finds respondents increasingly optimistic. In fact, the index was up two points in February, its third … [Read more...]

Everybody with a home to sell wants it to sell for as much as it can. Part of that is presenting it in its best light. That means making small repairs, painting, cleaning, and removing unnecessary clutter before listing it. The other part is selling at the right time. But when is the best time to list your home if you want to get the best possible price? Generally speaking, spring is the time of year when the market heats up and buyers are most active. Year after year, spring sellers are shown to get the best price … [Read more...]

According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates for 30-year fixed-rate loans with conforming loan balances saw a slight decline last week from the week before. Rates also fell for 15-year fixed-rate loans, while FHA loans were unchanged and jumbo loans and 5/1 ARMs saw small increases. Steady rates were enough to boost interest in buying a home, though, as demand for mortgage applications spiked 9.7 percent. Mike Fratantoni, MBA’s senior vice president and chief … [Read more...]

Spring is typically the time of year when the housing market gets going. This year looks to be no different. In fact, according to a new analysis from the National Association of Realtors’ consumer website, there’s reason for optimism. That’s because the number of homes for sale – which has been one of the primary factors holding buyers back – is rising, and particularly in affordable price ranges. According to the numbers, the inventory of homes for sale on a typical day in February was nearly 15 percent higher … [Read more...]

Buying a home has gotten more expensive over the past few years. Home prices have climbed and mortgage rates are elevated from the record lows seen during the pandemic. In short, buyers need more money than was necessary just a few years ago. But, according to one new analysis, how much you need to earn in order to comfortably afford a home is largely dependent on where in the country you’re looking to buy. In fact, the necessary household income varies widely. For example, in cities like Pittsburgh, Memphis, and … [Read more...]