Sales at Highest Pace in 10 Years! 

Highlights:

• 5.45 million existing #homes were #sold in 2016! This is the highest mark set since 2006.
• Inventory of existing #homes for sale dropped to a 3.6-month supply, the lowest level since NAR began tracking in 1999.
• The median price of #homes sold in December was $232,200. This is the 58th consecutive month of year-over-year price gains.
• For More Info Call Or Visit: www.celinavazquezrealtor.com
• 909-697-0823

Tips for Preparing Your House For Sale

Highlights:

• When listing your #house for sale your top goal will be to get the #home sold for the best price possible!
• There are many small #projects that you can do to ensure this happens!
• Your real estate agent will have a list of specific suggestions for getting your house ready for market and is a great resource for finding local #contractors who can help!
• For More Info Please Call or Visit My Website: www.celinavazquezrealtor.com
• (909)697-0823

Will Housing Affordability Be a Challenge in 2017?

Some industry experts are saying that the housing market may be heading for a slowdown in 2017 based on rising home prices and a jump in mortgage interest rates. One of the data points they use is the #Housing Affordability Index, as reported by the #National Association of Realtors (NAR).

Here is how #NAR defines the index:

“The Housing Affordability Index measures whether or not a typical family earns enough income to qualify for a mortgage loan on a typical home at the national level based on the most recent price and income data.”

Basically, a value of 100 means a #family earning the median income earns enough to qualify for a mortgage on a median-priced home, based on the price and mortgage interest rates at the time. Anything above 100 means the family has more than enough to qualify.

The higher the index, the easier it is to afford a home.

Why the concern?

The index has been declining over the #last several years as #home values increased. Some are concerned that too many buyers could be priced out of the market.

But, wait a minute…

Though the index skyrocketed from 2009 through 2013, we must realize during that time the housing crisis left the market with an overabundance of housing inventory with as many as one out of three listings being a distressed property (foreclosure or short sale). All prices dropped dramatically and distressed properties sold at major discounts. Then, mortgage rates fell like a rock.

The #market is recovering, and values are coming back nicely. That has caused the index to fall.

However, let’s remove the crisis years and look at the current index as compared to the index from 1990 – 2008:

We can see that, even though prices have #increased, #mortgage rates are still #lower than historical averages and have put the index in a better position than every year for the nineteen years before the crash.

Bottom Line

The #Housing Affordability Index is in great shape and should not be seen as a challenge to the real estate market’s continued recovery.

For More Info Please Call or Visit: www.celinavazquezrealtor.com

(909)697-0823 

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