Wednesday, December 13, 2017

Student debt prompts millennials to move back home

Source: USA Today

Twenty-six percent of millennial college students say they plan to move back home as soon as they earn their degree in order to pay off some of their student loans, according to TD Ameritrade's Young Money Survey of about 2,000 young adults. Thirty-two percent of millennials between the ages of 20 and 26 say they owe between $10,000 and $50,000 in student loans. The average student loan balance was $10,205. That is prompting more graduates to move back home with their parents to curb costs. Nearly half of the post-college millennials surveyed say they had "moved back to my parents' home after college." About one-fourth of those who are still in college say they expect to move back with their parents following graduation.

Wednesday, December 6, 2017

Real estate’s new normal: Homeowners staying put

Source: New York Times

The median amount of time homeowners live in their home rose to about eight and a half years in 2016, the longest tenure since Moody's Analytics and First American Financial Corporation began tracking such data in 2000. Mortgage rates may be the reason owners refuse to move, which is keeping inventory stubbornly low. And economists predict homeowners will continue to lengthen their stay in a home through the next decade. Many homeowners refinanced their mortgages in recent years when interest rates were at historic lows—around 3.25 percent for a 30-year fixed-rate mortgage. Now that interest rates have increased, mortgage payments would jump significantly for homeowners, even if they find a similar home for the same price. For example, a $500,000 30-year fixed-rate mortgage for $500,000 with an interest rate of 5.5 percent would increase a monthly payment from $700 to $3,600, including estimated taxes and fees.

Wednesday, November 22, 2017

The struggle is real for millennial home buyers

Source: CNN Money

After years of many experts lamenting how millennials weren't interested in becoming homeowners, it turns out many are actually diving in. But they're facing a lot of competition. Millennials are the largest group of homebuyers, according to Ellie Mae, a software company that analyzes mortgage data. In January, millennials represented around 45 percent of all purchase loans, up from 42 percent the same month in 2016. And many expect more millennial house hunters to jump into the market this spring buying season. But their path to homeownership won't be easy. New buyers this spring will also be up against buyers who started looking last year, but still haven't bought a home. A shortage of available homes has driven up prices -- particularly among starter homes that tend to fall within first-time buyers' budgets. There were 3 percent fewer homes on the market in February compared to a year ago, according to a recent report from Zillow, and home values are up nearly 7 percent.

Wednesday, November 15, 2017

Hispanic homeownership rate rises for second straight year

Source: RIS Media

Hispanics are an overriding force in homeownership, flouting national figures as they establish owner households at a rising rate for the second straight year. According to the National Association of Hispanic Real Estate Professionals’ (NAHREP) recently released 2016 State of Hispanic Homeownership Report, the Hispanic homeownership rate increased to 46 percent last year, leading an against-the-trend charge in spite of a decreasing national rate. The Hispanic homeownership rate was 45.6 percent in 2015 and 45.4 percent in 2014. In addition, more than 7.3 million Hispanic households owned their homes in 2016, with 330,000 new households added—38 percent of all households formed. What drivers are compelling Hispanics toward homeownership? Owning a home, for one, remains a hallmark of their American Dream. The majority of Hispanics view homeownership as a viable investment vehicle for wealth-building, as well as ideal for child-rearing.

Wednesday, November 8, 2017

8 Questions to ask yourself when deciding to rent or buy


If you're at the age when your peers are making major life moves — getting married, having kids and buying homes – you might be feeling it's time to join them. Or you may simply just be at that stage all on your own. Either way, plenty of young adults are starting to get the home-buying itch. While there are a lot of appealing benefits to homeownership, taking on that kind of debt is not without risk. The decision to rent vs. buy is one you should make carefully. If you're trying to figure out your next move, consider asking yourself such questions as, "What is my top financial priority?" "Do I have enough for down payment and closing costs?" "And, how long do I plan to live here?"

About This Blog

Short Sales and Foreclosures

More Information

  © Blogger templates Psi by 2008

Back to TOP