Posted by Kevin Durawa on Wed, May 16, 2012 @ 05:47
It seems that new-home purchases, one of the markets hit hardest by the subprime mortgage crisis and subsequent housing collapse, may be on the rise. According to the latest data from the National Association of Home Builders (NAHB), builder confidence saw a significant rise in May compared to recent months.
The NAHB/Wells Fargo Housing Market Index (HMI), released monthly by the organization, showed a statistical increase from 24 to 29, the highest reading since May of 2007.
"Builders in many markets are reporting that buyer traffic and sales have picked back up after a pause this April," reported Barry Rutenberg, a home building contractor and chairman of the NAHB. He went on to say the data reflected a "gradual uptrend in confidence that started at the beginning of this year." Current property values and improving conditions, he said, "encourage people" towards buying a home.
The index, a compilation of several components, posted across-the-board gains as well. Sections detailing the amount of likely buyers and current sales conditions in the housing market both rose five points. The component calculating sales expectations for the next two economic quarters rose to 34, up from 31.
The HMI also divides builder sentiment into U.S. regions. The Northeast gained six points, reaching 32, while the South and Midwest climbed five points apiece to 28 and 27. The West was the only region to mark a decline on the HMI, down two points to 29.
David Crowe, the chief economist for the NAHB, added: "While home building still has quite a way to go toward a fully healthy market ... firming home values, improving employment and low mortgage rates are drawing consumers back."
Rising builder confidence opens up new opportunities for New York homebuyers to take advantage of improving conditions and availability. Anyone interested in new-home purchases should contact their local real estate agents to obtain useful information and counseling.
Posted by Kevin Durawa on Fri, May 11, 2012 @ 04:52
On May 4, the Department of Labor released data that showed that the U.S. economy added 115,000 new jobs in April. While this rate of growth was slower than some observers expected, it was still indicative of a gradually improving economy, one that has given more Americans confidence, according to a new report.
Fannie Mae released its April 2012 National Housing Survey on May 7, reporting that consumer sentiment with regards to the economy and their own personal financial situations has improved. Consumer confidence reached 37 percent, the highest measure that the two-year-old study has ever recorded.
Similarly, 23 percent of Americans say their income has grown in the past year - a reality that may have encouraged many local residents to consider purchasing real estate in New York. As the survey revealed, 71 percent of respondents think buying a home in today's economy makes sense.
On the other hand, 15 percent of survey takers think selling a home today makes sense, and while that figure is relatively low, it has been increasing, explained the report. Ultimately, respondents presented positive expectations regarding home value improvement and the state of the housing market.
"After flatlining at depressed levels for over a year, a growing share of consumers indicate that it is a good time to sell, suggesting rising optimism for the housing market," said Doug Duncan, chief economist at Fannie Mae, in a press release. "Overall, consumer views of housing market conditions have become more supportive of home purchases, and sustained healthy hiring is required to help realize these improved expectations."
Individuals considering buying a home in New York state could benefit from the seasoned guidance of veteran real estate agents in New York, who can provide valuable guidance regarding ideal neighborhoods and potential high-value properties.
Posted by Kevin Durawa on Thu, May 10, 2012 @ 04:02
A new survey says more renters are now more interested in buying a home than they were 12 months ago, which may be a reflection of the increasing affordability found in today's housing market.
PulteGroup, a national homebuilder, released the results of its most recent home index report on May 1, which analyzed the sentiment of renters who say they want to buy a home. Of this segment of the population, 60 percent reported an increased desire to purchase a new home compared to 12 months ago, while 61 percent said they will likely be buying a home in the next two years.
Roughly half of respondents expressed a desire to call themselves homeowners as a motivating factor behind this purchase. In addition, 44 percent said they considered a home purchase to be a valuable investment, while 36 percent said family growth will require their need for a larger living space.
Just over a quarter of respondents - 28 percent - said their belief that renting was cheaper than buying a home held them back from making this decision. Others cited difficulty saving up for a down payment or concerns with the economy as major deterrents.
"Clearly the dream of homeownership is alive and well in America, yet we still have a ways to go to ensure more renters are able to take that important step towards buying their first home," said Deborah Meyer, senior vice president of PulteGroup, in the press release.
Recent data shows that, in some places, buying a home could actually be more affordable than renting an apartment. In April, the real estate website Trulia revealed that it makes more sense to buy a home than rent in every U.S. metropolitan area except for San Francisco and Honolulu. That means real estate in New York may be more affordable than many locals think.
Posted by Kevin Durawa on Wed, May 09, 2012 @ 06:12
Finding an affordable home in today's economy may not the challenge it once was, as prices on homes around the country continue to fall. However, qualifying for a mortgage can be a challenge itself with lenders increasingly restricting the type of borrowers they will approve, according to Money Magazine.
The source outlined a number of mortgage tips for consumers who are buying a home, not the least of which included the need for several different mortgage quotes. While Money Magazine suggests receiving as many as six quotes, it is worth noting that each quote can actually impact your ability to qualify for a mortgage, as credit inquiries impact your credit score.
Ultimately, the lesson to take from this tip may simply be to receive quotes from a variety of sources, including both national and local banks or credit unions. As a result, individuals buying a home in New York will be able to sample costs with a number of different interest rates applied.
The news source also suggests limiting credit expenses in the weeks and months leading to a mortgage application, which can help mitigate any potential damage to your credit score that you may unintentionally cause with an innocent purchase or newly opened credit line.
Finding the right mortgage takes work and patience, but it is not impossible with a bit of effort. In that same vein, finding the home of your dreams is possible with the right representation at hand. A real estate agent in New York can help put you on the path to homeownership with guidance on local home values, ideal neighborhoods for your needs and other important factors.
Posted by Kevin Durawa on Tue, May 08, 2012 @ 06:49
The economy nationwide and in New York state has improved in recent weeks and months, and as a result, many more consumers say they have the confidence needed to consider buying a home. A new report suggests that many more might turn to a New York real estate for aid during this process in the near future.
The home search website HomeFinder.com released the results of a March 2012 survey of nearly 400 of its users. According to an April 30 press release on the survey, 63 percent of respondents say they expect to have a real estate agent at their side to educate them on the buying process, while 47 percent said this professional would be valuable to get a clearer idea of the value of the home they plan to purchase.
At the same time, 47 percent of survey takers said they plan to secure a real estate agent, but have not yet done so. Commenting on the survey results, HomeFinder.com CEO Doug Beaker said that figure in particular represents an opportunity for real estate agents.
Real estate agents in New York may need to become more proactive to reach a segment of homebuyers that, though eager, may not understand just how to secure the best representation for a home purchase. Agents can offer value to homebuyers in today's economy, as home price fluctuation has made it difficult for buyers to pin down the true value of a home.
Mortgage demand has been on the rise recently as homebuyers react to affordable home prices and record-low interest rates. The most recent national application report from the Mortgage Bankers' Association showed mortgage application volume increased during the week ending April 27 on the strength of a 2.9-percent rise in purchase applications.
Posted by Kevin Durawa on Mon, May 07, 2012 @ 04:30
The economy's recent trials and tribulations has made many Americans understandably frugal when it comes to big purchases - including automobiles and real estate. However, with the job market now improving and signs of financial stability growing, a report says more consumers in New York state are ready to make significant purchases, including that of a new home.
The Siena Research Institute at Siena College in Loudonville released its monthly report on consumer confidence in the state. In April, consumer confidence decreased slightly - by 1.8 percent - among residents of New York state, which experts with the institute said was likely a result of rising gas prices.
At the same time, more New York homebuyers are making plans to purchase real estate, according to the report. The findings showed that 4.1 percent of residents plan to buy real estate in New York in the near future - a marked increase from the 3.4 percent of respondents who had homebuying plans one year ago, said the report.
"Consumer plans to purchase two big ticket items, cars and homes, rose sharply in April," explained Dr. Doug Lonnstrom, founding director of the research institute. "All in all, most New Yorkers continue to stalwartly battle a difficult economy while a growing few today are ready to vent their pent up demand for some consumer goods, most notably cars and perhaps, real estate."
New Yorkers with plans to buy local real estate could receive the valuable consultation they need to make this important decision by working with real estate agents with a firm grasp of New York's unique market.
Posted by Kevin Durawa on Fri, May 04, 2012 @ 04:23
Data continues to support the idea that buying a home in New York or anywhere else may be within the reach of more Americans. For example, data released yesterday from mortgage giant Freddie Mac reported that the average interest rate for 30- and 15-year mortgages reached new all-time lows this week.
Some Americans appear to be reacting to the news of increasing homeowner affordability by speaking to lenders about the potential for a new mortgage. The most recent report from the Mortgage Bankers Association (MBA) - a trade organization - shows applications increased during the week ending April 27.
The MBA tracks the progress of both purchase and refinance mortgages. Its purchase index climbed 2.9 percent from the previous week, which demonstrated improving demand for this type of mortgage.
The refinance index slid 0.7 percent, which factored into a modest improvement for overall mortgage demand - just 0.1 percent from the previous week. Regardless, the data shows many homebuyers may be reacting to improving market fundamentals by seeking out a mortgage to finance their real estate purchase.
What does this mean for individuals who have not yet made a decision on their purchase of New York real estate? On the one hand, affordability continues to improve, but at the same time, other homebuyers are beginning to acknowledge the trends and throw their hats into the ring. As a result, bidding wars have broken out and more homebuyers have found themselves competing for their dream homes, according to a recent Wall Street Journal report.
It is possible to secure an ideal property even at a time when competition is high. An experienced real estate agent in New York with knowledge of the local market can mean all the difference between a successful home purchase and a disappointing end.
Posted by Kevin Durawa on Thu, May 03, 2012 @ 06:50
If you're a consumer interested in buying a home, it's very likely you've had real estate agents and mortgage lenders stress the affordability of real estate in today's economy. While skepticism can be a healthy asset in the home buying process, reports continue to reinforce the idea that buying a home today may be more affordable than it's ever been.
A perfect example may be the latest interest rate report from Freddie Mac, the government-sponsored mortgage company. On May 3, the agency released its most recent Primary Mortgage Market Survey, which revealed that the average interest rate for a 30-year fixed-rate mortgage fell to 3.84 percent this week.
While any rate under 4 percent is certainly notable, Freddie Mac's news is particularly significant since it revealed a new all-time low for the average interest rate on a 30-year FRM. Things were no different when considering the average interest rate on a 15-year FRM, which also established a new record low at 3.07 percent.
Given these figures, it's conceivable that if you're in the market for New York real estate, you could pay a relatively low price on your monthly mortgage. In a March 2012 report, the National Association of Realtors said that its National Housing Affordability Index reach an all-time high reading of 206.1 - meaning the typical American family has double the income they would need to afford a home at current median prices.
"This is the first time the housing affordability index has broken the two hundred mark," NAR president Moe Veissi said at the time. "For buyers who can qualify for a mortgage, now is a very good time to become a homeowner."
Posted by Kevin Durawa on Tue, May 01, 2012 @ 10:55 PM
For many young Americans, the economy of the past few years has proved difficult for getting jobs and dealing with debt. As a result, many Generation Ys (those age 25 to 34) have chosen to live at home a little longer.
In fact, according to a new article in Forbes, nearly 30 percent of Gen Ys still live with their parents. While traditionally, young Americans moved out for college or work, and rarely moved home, the dynamic is shifting, and multi-generational housing is more common.
"One reason young adults who are living with their parents may be relatively upbeat about their situation is that this has become such a widespread phenomenon," reads a recent report by Pew, as cited in the news source. "Among adults ages 25 to 34, 61 percent say they have friends or family members who have moved back in with their parents over the past few years because of economic conditions."
At the same time, buying a home is easier and more affordable than ever, and if you have been living at home for a few years and saving, what better investment than New York real estate? No matter how cheap living with the parents is, ultimately, most young people crave their independence. You could certainly decide to rent, but keep in mind that the money you saved will deplete quickly, with nothing to show for it. Plus, rental prices are at record-highs.
For more information about inexpensive homes and record-low mortgage rate opportunities, you might want to contact one of our local real estate agents in New York today.
Posted by Kevin Durawa on Mon, Apr 30, 2012 @ 11:21 PM
Are you interested in buying a home, but worried that the time isn't yet right?
Many potential homebuyers are nervous about taking on such a large investment so recently after the country's economic crisis, but at the same time, it's important to consider that now is a key time for Americans to buy: Prices are down, mortgage rates are at all-time lows and purchasing foreclosures and short sales can save you even more.
But, many people get caught up reading housing reports every day that can't seem to make up their mind whether the economy is improving or not. While the economy hasn't stabilized entirely, it's important to consider that the housing market will fluctuate as it slowly regains its footing.
In fact, the National Association of Homebuilders (NAHB) held a webinar last week to discuss the economy and the current real estate trends, and one of its most important messages to Americans was that small fluctuations month-to-month are a normal part of the recovery process.
"No one is anticipating that an upward path for housing will run in a straight-line trajectory," said David Crowe, NAHB's chief economist, in a statement to press. "The economy is in an uneven recovery and we can expect some corresponding ups-and-downs in the housing market in the months ahead. However, NAHB believes that on the whole, we can expect a slow and gradual recovery in housing starts, home sales and the overall housing market in 2012."
So, rather than miss out on prime New York real estate because you are nervous about monthly home starts or foreclosure levels, be sure to contact one of our local real estate agents in New York to get a great deal on a new home today.