Tag: Citadel Property Management

An increasing number of Americans say they feel now is a good time to buy a house, according to the most recent Home Purchase Sentiment Index from Fannie Mae. The index – a monthly measure of how consumers feel about real estate, home prices, mortgage rates, job security, and their financial situation – is now nearing its all-time high, reached in September. Doug Duncan, Fannie Mae’s chief economist, says Americans’ perception of the real estate market is improving. “In November, the HPSI rebounded to near its all-time high, returning the index to its gradual upward trend and suggesting fairy stable consumer home-buying attitudes,†Duncan said. “These results are consistent with our expectation that the housing market will continue its modest expansion going forward.†Among respondents, there was a 7 percent increase in participants who said now was a good time to buy a house and a 4 percent increase in the number who feel it’s a good time to sell. More here.

Potential home buyers often describe the home buying process as being complicated. And, most likely, a lot of their confusion stems from the financing side of the transaction. A lack of knowledge about what is required and how to proceed can cause otherwise qualified borrowers to become intimidated and even delay their dreams of homeownership. For example, prospective buyers often have misconceptions about down payment requirements, believing they are required to put down much more than is actually necessary. And, though calculating the size of your down payment depends on a number of factors, believing that you can’t buy a house with less than a 20 percent down payment can be enough to convince a potential home buyer that they aren’t yet ready to buy. That’s why it’s important to contact your lender to explore your options before you talk yourself out of buying. Though there is plenty of information available online – and recent research shows the internet is the primary source of information about mortgages – you can’t get an accurate appraisal of your options and price range without the help of a qualified professional. Don’t allow misconceptions to hold you back from buying the home of your dreams. More here.

Among the many indicators used to track the health of the housing market, the National Association of Realtors’ Pending Home Sales Index is unique. That’s because, rather than count the number of homes that sold in any given month, it counts the number of signed contracts to buy homes. So what’s the difference? Well, contracts are typically signed about a month before the actual closing date. Which means, pending sales offer a glimpse of where future sales might be. And, according to the most recent report, sales might soon see a lift. That’s because the number of contracts signed in October was up 3.5 percent and marked the first increase in three months. Lawrence Yun, NAR’s chief economist, said the improvement was encouraging but challenges still remain. “Home shoppers had better luck finding a home to buy in October, but slim pickings and consistently fast price gains continue to frustrate and prevent too many would-be buyers from reaching the market.†In short, buyer demand still outweighs the number of homes available to buy but recent news offers some reason to believe improvements are on the horizon. More here.

According to the Mortgage Bankers Association’s Weekly Applications Survey, average mortgage rates were virtually unchanged last week across all 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 mortgages. Mortgage rates are now just above where they were last year at this time. Joel Kan, an MBA economist, told CNBC rates were unmoved due, in part, to low inflation. “The Fed’s FOMC minutes indicated that despite the near certainty of a December rate increase, persistently low inflation remained a concern, pushing Treasury rates slightly lower last week,†Kan said. But, though rates were steady, demand for mortgage applications was up and down. Refinance demand fell 8 percent to its lowest level since January, while demand for loans to buy homes was up 2 percent and at its highest level since September. This, however, is understandable, as refinancing homeowners are more active when rates fall. The MBA’s weekly survey has been conducted since 1990 and covers 75 percent of all retail residential mortgage applications. More here.