Tag Archives: home buyers

Money Monday: Common Home Buying Expenses

When home buyers purchase real estate, they often don’t factor in other expenses that they may incur.

Your new home is certainly a large expense, but have you considered the other purchases that may go hand-in-hand with that home’s cost?

Common home buying expenses for real estate buyers

This infographic is from the CALIFORNIA ASSOCIATION OF REALTORS, available here.

Money Monday: Mortgage Lenders are Trying to Make it Easier to Buy

As prices rise, mortgage lenders are making it easier to buy a house.

mortgage rates and property taxes

Source: Los Angeles Times

Some prices are rising across the country and mortgage rates, though still historically low, are up since the presidential election.

Simply put, buying a home isn’t easy, especially in high-cost metropolitan areas such as Los Angeles County, where the median price of a home hit $569,000 in June.

But changes in the mortgage industry are afoot, with the goal of loosening some of the strict standards established after the subprime crisis — rules some blame for impeding sales.

“The reality has sunk in that there are buyers out there who will be able to buy homes and make the mortgage payments,” said William E. Brown, the president of the National Assn. of Realtors. The industry is “trying to give them more options to buy a house.”

Government-controlled mortgage giants Fannie Mae and Freddie Mac are paving the way by rolling out new programs to encourage home ownership.

The companies, with their congressional mandate to promote home ownership, don’t originate loans, but purchase mortgages from lenders to keep the market moving. And any changes they make in the underwriting standards for the loans they buy can have a big effect.

Read the full story

Pets Influence Home Buying Decisions

The power of pets when buying real estate.

Care Your Pet

When home buyers have pets, that factors into their priorities for their future home. While the specific priorities differ from person to person, a massive 95% of consumers think that allowing animals within a housing community is important. Other preferences that consumers value include:

  • Nearby animal amenities (a walking path ranks at #1 at 54%; a nearby dog park or animal grooming also is included in the list).
  • Home features important to animal owners (not surprisingly, a fenced yard is vital to 91%, with a laminate floor coming in second as another priority for 66% of consumers).

This infographic is from the CALIFORNIA ASSOCIATION OF REALTORS.

First-Time Home Buyers Have Increased

For the first time in three years, the percentage of home buyers in the real estate market has increased.

This infographic is from the CALIFORNIA ASSOCIATION OF REALTORS.

Millennials Make Up Half of US Real Estate Buyers

News from Zillow’s recent real estate study

HomeForSaleSignZillow released a study on Tuesday, revealing some of their real estate findings; including: “half of all buyers are under age 36, meaning the Millennial generation is driving more of the housing market than we previously understood.”

Another finding had to do with the hiring of real estate agents. They found that “buyers aren’t replacing the expertise of real estate agents with online research—but they are doing a tremendous amount of research online before contacting an agent. Those who start their home searches online are actually more likely to use an agent than other buyers.”

The report summarizes Zillow’s findings in a 164-page report; click here to read about all of the real estate findings in detail.

Money Monday: Good news for home buyers

Incomes are finally rising faster than home prices.

Photo from Pictures of Money

Photo from Pictures of Money

“For the first time since 2011, incomes rose faster than home prices in the U.S., according to a new report from Zillow.

“The median home price climbed to $188,100 in August, a 5% increase from the same time a year ago.

“And last week, the Census Bureau reported that median household income increased to $56,516 in 2015, up 5.2% from 2014.”

CNN. “Here’s some good news for house hunters.”  http://money.cnn.com/2016/09/22/real_estate/incomes-rise-faster-than-home-values

Read more of this article at CNN here.

Homebuyer Challenges

Potential homebuyers can face challenges to buying a home.

What difficulties to they face?

  • Saving for a down payment (need help on saving/not spending as much? Check out my Money Monday posts!)
  • Lack of houses for sale (real estate inventory)
  • Difficulty getting financing and credit
  • Personal debt (I have some tips in my past Money Monday posts!)

BuyerRoadblocks

 

This infographic is from the CALIFORNIA ASSOCIATION OF REALTORS at CAR.org.

Money Monday: Brexit and U.S. Homebuyers

Why Brexit is great news for U.S. homebuyers

“It’s now even cheaper to get a mortgage.

“The average rate of a 30-year fixed mortgage dropped to 3.48% — the lowest level since May 2013, according to Freddie Mac. A year ago, the rate was 4.08%.

“The drop comes in the wake of the U.K.’s decision to leave the European Union. The historic vote sent the yield on the U.S. 10-year Treasury, which serves as benchmark for consumer loans, tumbling to 1.45% this week…”

Read more of this article from CNN Money here: “Why Brexit is great news for U.S. homebuyers“.