1. Housing Affordability Is at Record High Levels. Each month the National Association of Realtors issues its “Housing Affordability Index,” which measures the ability of the average family to afford the average home. In May 2009 the national affordability index was 171.6. This means that if a family with the median income of $60,799 wanted to purchase a medianpriced existing single-family home at $172,900 (with a 20% down payment of $34,580), they would have 171.6% of the qualifying income needed to purchase that home. The graph above shows how regional housing affordability has improved from one year ago.
2. Interest Rates Are at Historic Lows In the 1990s rates were higher than 10 percent. This look back through time makes it easy to see that today’s mortgage rates are relatively low. Tax Credits Available for a Limited Time · First-time homebuyers have until November 30, 2009, to take advantage of the federal tax credit of up to $8,000!
3 · Renovations: Buying a home that needs a new roof, windows, or insulation? Qualified homeowners may receive a tax credit for 30% of renovation costs, up to a maximum of $1,500, for energy-efficient improvements to their current primary residence.
4. Inventory of foreclosure and short sale properties is up in many areas. Also called real-estate owned or REO, lender-mediated, lenderowned, or non-traditional, these properties appeal to bargain hunters looking for that hidden gem.
5. Inventory of homes overall is at a 9.6 month supply nationally. It is a buyer’s market! More sellers than buyers in the marketplace can mean more choices and more bargaining power for buyers. There is still time to take advantage of lower home prices and historically low interest rates!
Are you interested in gettiung in on this great opportunity market? Call me TODAY at (949) 554-5477 or log onto: www.SoCalJasmine.com
