Equity Gain in Third Quarter: $12K

Average Homeowners are still finding plenty of equity in 

their homes, but the gains are slowing. Homeowners with a mortgage saw their equity rise by 9.4 percent over the past year, according latest Home Equity Report. The average homeowner gained $12,400 in home equity between the third quarter of 2017 and the third quarter of 2018.

That is lower than the more than $16,000 year-over-year gain in equity reported in the second quarter.

“On average homeowners saw their equity increase again this quarter, but not nearly as much as in previous quarters,”  “The lower year-over-year gain reflects the slowing in appreciation.”

Still, nearly every state posted an increase in equity among homeowners in the third quarter. Western states saw the most significant increases in the third quarter, according to the report. For example, California homeowners recorded an average gain of about $36,500 in home equity in the third quarter; Nevada homeowners saw a $32,600 uptick and Utah homeowners saw a 18,000 equity home gain. 

Mortgage Rates Are Easing: Home buyers may be finding a window of opportunity to lock in lower rates. Mortgage rates fell this week, after several weeks of moderating, Freddie Mac reports.

“Mortgage rates declined this week amid a steep sell-off in U.S. stocks,” says Sam Khater, Freddie Mac’s chief economist. “This week’s rate reaction to the volatile stock market is a welcome relief to prospective home buyers who have recently experienced rising rates and rising home prices.”

Freddie Mac reports the following national averages with mortgage rates for the week ending Dec. 6:

We are Ready to Help! When you’re working with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

#LeasePurchase #UtahRealEstate #Mortgagerates

Buyers Aren’t Giving Up

But Their House Hunts Are Lasting Longer, Buyers

are pending significant  time trying to find the perfect home. Fifty-four percent of active buyers say they’ve been trying to find the right home for three months or longer, according to the National Association of Home Builders’ Housing Trends Report poll.

But most of the prospective buyers surveyed say they refuse to give up and will keep looking until they find the right home. The NAHB survey found that buyers who are unable to find a home over the next few months plan to do the following:

Buyers say the biggest delays that are stretching out their home search is they can’t find a home at an affordable price (49%), followed by not being able to find a home with the desired features they want (40%) or in their ideal neighborhood (38%).

• 61% will continue looking until the “right” home opens up in a preferred location
• 37% will expand their search area
• 23% will accept a smaller/older home than originally intended
• 18% will give up trying to find a home until next year or later
• 16% will buy a more expensive home than they originally intended.

One option that is not in the cards for most of them: giving up.  Only 18% will stop trying to find a home.

We are Ready to Help! When you’re working with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  .  

#LeasePurchase #UtahRealEstate #Homeownership

Source: “Active Home Buyers Are Spending Significant Amounts of Time Looking for the Right Home,” National Association of Home Builders’ Eye on Housing blog (Dec. 4, 2018)

Making a Wish List

Checking it Twice, The homebuying process can be a lot 

to handle—just like the holiday season. In both, you likely have a mile-long to-do list and are trying to stick to a budget.As you begin to make your holiday wish list, you might also consider creating a homebuying wish list.

Putting pen to paper will help you visualize "wants" compared to "needs" and which of those "wants" are reasonable to look for.

It will also help you prioritize. For example, you may want to walk to work in the city, but also want a large yard and no traffic. See the paradox? This is normal!

When making your homebuyer wish list, ask yourself specific daily lifestyle questions that will help you rank items in order of importance. For example:

Can you work from home? What type of workspace will be required for that?

Is a garage a necessity? How many spaces do you need?

Do you have the time/money to care for a yard or do you prefer a low maintenance home?

Once you're finished with your list, you'll be able to decide what elements of a potential home are must-haves as opposed to which are nice-to-haves.

Bottom line: You are going to have to make some tradeoffs, but knowing what you want and what you can afford will help you and your agent narrow in on the perfect house.

Are you ready to make a move we're here to Help! Working with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program. 

Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.   

#LeasePurchase #UtahRealEstate #Mortgage 

In 2019 Mortgage Payments to Jump 8.4%

Buyers will likely see a significant jump in their monthly 

payments next year. Mortgage payments are forecasted to rise 8.4 percent in 2019 due to the increase in mortgage rates, according to S&P Global Ratings’ latest housing market update.

Rates to jump up 8.4 percent, 37.4% of Purchase Borrowers Received Mortgage Rates Under 5% Last Week, 
Over the last year, the mortgage payment growth rate has exceeded the numbers seen for home price appreciation.That trend is expected to continue into next year.

Housing affordability remains a chief concern, While the rate of home price gains is slowing, the rising mortgage rates are still likely to bite into affordability.

Home buyers who shop around for mortgage rates could unlock some potential savings. A new analysis shows that home buyers could see a median lifetime savings of $27,454 in interest on a $300,000 loan by comparison shopping for the best mortgage rates.

About 37 percent of borrowers who applied for a 30-year fixed-rate mortgage in November received offers under 5 percent. A year ago, 98 percent of purchase offers had rates under 5 percent, The average interest rate at the end of November was 4.875 percent.

Many economists are predicting mortgage rates above 5 percent in 2019. The National Association of REALTORS® predicts that the 30-year fixed interest mortgage rate to average around 5.3 percent next year.

“The potential buyer who’s thinking if now is the right time to buy needs to do the math and determine what the impact of potential rising rates would be on their payment,” says Paul Bishop, NAR’s vice president of research.

Are you ready to make a move we're here to Help! Working with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 
Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

#LeasePurchase #UtahRealEstate #Mortgage 

Source: “Mortgage Payments Set to Jump in 2019,” HousingWire (Dec. 3, 2018); “34.7% of Purchase Borrowers Received Mortgage Rates Under 5% Last 

Financing for Manufactured Homes Coming

Freddie Mac has announced that it will start  

Conventional financing manufactured housing, which it hopes will help make homes more affordable to buyers. The mortgage financing giant says it will conduct a two-year pilot called CHOICEHome to grant conventional financing for manufactured homes with certain features, such as permanent and pitched roofs.

Many of the manufactured homes also have energy-saving features, such as Energy Star Qualified Low-E windows, programmable thermostats, and minimum insulation values.

Factory-built homes that meet Freddie Mac’s specifications will be eligible for a CHOICEHome certification and CHOICEHome financing. Freddie Mac’s HomeOne and Home Possible loan programs will also be available for manufactured housing. Freddie Mac also says appraisers will now be able to use site-built housing as a comparable valuation.

“Today’s manufactured homes can deliver outstanding quality at prices that are up to 50 percent less per square foot than conventional site-built homes,” Freddie Mac notes. “These savings can enable more Americans to own their own home, even in the face of an ever-widening housing affordability gap.”

Currently, more than 22 million families live in factory-built housing. That number is expected to grow, says Mike Dawson, vice president of single-family affordable lending strategy and policy at Freddie Mac.

“There’s an opportunity for factory-built homes to address the housing supply shortage and quality housing overall,” Dawson says. “This new generation of manufactured housing might just be the best option for first-time home buyers, millennials, and empty-nesters looking to downsize.”We are Ready to Help! When you’re working with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need.
Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today. 

#LeasePurchase #UtahRealEstate #Homeownership

Source: 

Freddie Mac

Tale of Dual Markets

’Its report detailing the extent of the rise and fall in markets 

across various metros in the country revealed price cuts in larger metros this month. The report also reflected an increase in inventory and slowing listing prices. Compare this to smaller metros, affordable markets experienced steady price gains.

“The housing market is a Tale of Two Cities as the divergence widens between high-cost, large urban areas, and smaller, more affordable markets.'

According to the report, U.S. housing inventory is up by 4 percent. It noted a rapid increase in inventory to 9 percent in the nation’s largest and most expensive metros.Markets in the west coast, five of which are in California posted the largest year-over-year inventory increases.

The national percentage of listings saw an increase in price reductions to 22 percent in November compared to 19 percent last year.

This surge in price reductions is driven by 40 of the 45 top markets, with San Jose, California topped the list with the share of price reductions growing by 16 percent, from 17 percent last year to 33 percent in November.

It was followed by Indianapolis (+15 percent), Seattle (+12 percent), San Francisco (+9 percent) and San Diego (+9 percent).

The report found that the median U.S. listing price grew 9 percent year-over-year to $293,000 in November, down slightly from October, but higher than last year's increase of 8 percent.

Of the 45 metros, 35 continued to see year over year gains in their median listing price,with only eight markets outpacing the national growth rate at nine percent, which is an indication of gains mainly confined in smaller markets despite rising prices at a national level. Chattanooga, Tennessee (+17 percent), Spokane, Washington (+15 percent), and Greensboro-High Point, North Carolina (+14 percent), are some of the markets that posted the highest year-over-year median list price growth. San Jose, California; and Austin, Texas; recorded a steep decline by four percent.

                         
'Buyers in larger metros are seeing more homes on the market and listing prices decline, while those in smaller markets continued to see price increases,' Realtor.com calls the housing trends of November, a ‘Tale of Two Markets.

Now Looking into the Housing Market in 2019: There are two key trends we’re seeing in 2018. One is the rise of the first-time homebuyer. As the economy gets stronger and rates, as well as home prices continue to rise, many potential first-time homebuyers are realizing that now is the best time to jump into the market before it gets more expensive; especially since we see no end in sight regarding the increase in home prices.

We are Ready to Help! When you’re working with real estate professionals like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. 
Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready! If you prefer a more personal touch, CALL 801-809-9866 today.  

#LeasePurchase #UtahRealEstate #Homeownership

Need to Sell Your Home this Winter?

Staging Ideas That Work Wonders During Winter: Stand out

 with some home staging here is a few little tweaks that make your place shine like that crown jewel you know it can be. Winter is the time of year when most home buyers, like bears, retreat to their own cozy homes and hibernate. So what if you have a house you must sell right now, winter be damned?

Despite what you've heard, winter can actually work to a home seller's advantage. So before you throw up your hands and take a home-selling hiatus, try these home-staging ideas for the winter months to make your house stand out.

Don't skimp on curb appeal
If you live in a snowy climate, you know there's little you can do about the white stuff piling up outside. But you can stay on top of your yard maintenance, so buyers have an easy path to your front door and walk away with a feeling that your place is easy to maintain. Shoveling the driveway and paths to your home is a must. And you'll want to clean out your gutters, so ice isn't backing up and giving the impression that you have roofing issues.

You can also add some winter-themed outdoor decor.

If you can, now's also the time to make sure your front door has a fresh coat of paint. A bright, colorful front door will stand out all the more in the snow, and that can really wow your buyer.

Turn up the heat
Many homeowners like to keep the thermostat set down in the 60s to save on their heating bills, but you don't want a potential buyer to think they're visiting a house that's hard to heat.

Fire up the fireplace
Not only is it a good way to ensure the house feels warm, but making use of the fireplace is a good way to show off a great feature of your home. No fireplace? Play up the warm ambience with candles, fur throws, and other items that give off cozy vibes.

Add seasonal scents
It's always wise to clean your house and make the place smell nice and fresh, but the winter months are a time to focus on seasonal scents. That means mulling seasonal spices such as oranges, cloves, and cinnamon on the stove, to go along with freshly baked holiday cookies cooling on a rack in the kitchen. Music should also be seasonal, though not too heavy on the silly Santa songs. Some smooth jazz that evokes the festive feel of holiday entertaining.

Pump up the holiday decor
The holidays can actually make it easier to sell a home, if you decorate well. 'The main reason is that buyers like to picture themselves in the home hosting holiday get-togethers, and it's much easier to show them the potential of a house when it's decorated for the winter months.' We recommends a big wreath with a bright red bow on the front door and some (electric or battery-operated) candles in the windows. And if the holidays are over, and you're still showing your home, remove the decor immediately! If you’re thinking about putting your house on the market, To make the most of your new listing, take care of these items first. Do a Walk-Through With a real estate professional like Carriene Porter of Precision Realty & Associates, you’re guaranteed to get the expertise and advice you need. Give us a CALL 801-809-9866 today..
Purchasing your Dream Home, know what your number?
To determine how much you can afford, these are the two important guidelines most lenders use:

The Housing Expense Ratio = Ideally, your mortgage payment (principal, interest, taxes and mortgage insurance) should be less than 28% of your monthly gross income.

The Debt-to-Income Ratio = In most instances, your combined debt (credit cards, student loans, alimony, child support, car loans and housing expenses) should be less than 45% of your monthly gross income.

In addition to these key ratios, all the following will play a role:

Your income. You can get a very rough estimate of your affordable home price range by multiplying your annual gross income by 2.5 (this, of course, varies depending on current interest rates, your debt and credit history).

• Your credit. 
• Current mortgage rates. 
• Your downpayment.
• What's more, it's possible to put down as little as 3%.
• The type of home. 
• Fees and closing costs. 

Visit our mortgage calculators, for more information and resources about buying and owning a home. As always, reach out to your lender to get the full picture of what you can afford.

Not quite ready to buy a home?  You may qualify for the Lease with a Right to Purchase program.  Call me and I'll give you the details on how you may qualify to get into the home you want, get settled and then purchase it when you are ready!

#LeasePurchase #UtahRealEstate #Homeownership