NAR survey shows Americans believe buying a home is still a good financial decision

Americans remain convinced that buying a home is a good long-term investment. Here are a few of my favorite points from the article:

The survey measures how affordable housing issues affect consumers. This year’s results show that nearly nine out of 10 consumers believe that buying a home is a good financial decision. Fifty-nine percent of respondents also agree that now is a good time to buy a home; that number is even higher (64 percent) in areas of recent home price declines.

This year’s survey shows that Americans are more concerned about obtaining a mortgage and having enough money for down payment and closing costs than they have been in five years of polling. Nearly six in 10 respondents believe it’s difficult for people in their area to obtain a fair and affordable mortgage. More than eight in 10 say having enough money for down payment and closing costs are obstacles for home buyers in their area, up 17 percent from 2005. Sixty-three percent also think the mortgage approval process is an obstacle, up 13 percent since 2005.
“Buyers in the conventional market can still obtain mortgages at very favorable rates,” said Combs. “In addition, NAR is advocating for FHA modernization; changes to this program will help many more first-time buyers become homeowners.”

http://www.realtor.org/press_room/news_releases/2007/nar_survey_shows_americans_believe.html

Buying a home isn't stupid!

Here are a few of my favorite points from this article:

From the Housing Bubble to the Mortgage Meltdown, the press has been relentless, even though most people have lost more money on their SUV's and their stock portfolio than their homes this year.

Even though national housing prices are likely to dip around two percent this year, 2007 will still be the 5th best housing year on record. (actually, the third best year ever in Columbus!)

Most foreclosures and delinquencies are concentrated in the subprime market, and those who qualify for conventional financing are still seeing extremely favorable interest rates.

The East and West Coast typically flex higher and lower than the middle of the country, so it's not surprising that when the housing boom started back in 2002, prices skyrocketed in California and Florida, while going flat in other places.

http://realtytimes.com/rtapages/20071120_buyinghome.htm

Long-term investment

In the article, "Real Estate Continues to be THE Best Long-Term Investment," Peter L. Mosca from California discusses the recent downturn in the housing market compared to the boom from 2003 to 2005. He says that the appreciation rates during those years were unsustainable, leading to the slowdown in the California market. However, despite this slowdown, he argues that real estate continues to be the best long-term investment. Here are several good points he makes:

"Homeownership as a long-term investment has a track record that is virtually unmatched by any other purchase in terms of its real benefits, Brian Catalde, president of the National Association of Home Builders (NAHB) and a homebuilder from El Segundo (CA). "Homeowners today have a combined $11 trillion in equity in their homes, against which they can borrow to help pay for college tuition, medical expenses and other needs. And housing offers important tax incentives to make owning a home more affordable."

"To argue that home values will continue to decline and never recover, somebody has to make a convincing case that it will cost less to build a new home five years from now than it does today -- and that's just not going to happen," said Catalde. "Despite today's housing slowdown, the cost of land, labor and materials required to build new homes continues to go up."

Click here for the full story:

https://realtytimes.com/rtcpages/20071112_longterminvest.htm

New Listing!

I am pleased to announce my new listing! It is 1825D Northwest Ct, a desirable end unit condo in Windgate Village. It is absolutely beautiful inside with fresh paint and refinished hardwood floors. It has two bedrooms, one bathroom, and a basement. I am holding an open house there this Sunday from 2:00 to 4:00 if you'd like to check it out! For more information, look at the website below:

http://homes.realtor.com/search/listingdetail.aspx?zp=43212&mnp=18&mxp=17&bd=3&bth=2&typ=2&sid=c53916ca9f244509be05deeffcede649&lid=1092053174&lsn=5&srcnt=5#Detail

Most Affordable Places to Live Well

I noticed this article from Forbes that names Columbus as the ninth most affordable place to live well out of the 50 largest cities in the US. It calculated housing affordability according to the National Association of Home Builders and the Wells Fargo Housing Opportunity Index. Seventy-six percent of homes sold last quarter were available to the median-income earner. Then, it took into consideration the cost of living index developed by the Council on Community and Economic Research. Columbus has a cost of living slightly below the national average. Lastly, it used data from Sperling's Best Places to take into consideration opportunities for arts and leisure. Columbus has many different venues for music and sports, plus many parks and recreation centers.

http://www.forbes.com/2007/11/05/homes-property-affordable-forbeslife-cx_mw_1106realestate.html