It's Not Always Marriage Before Mortgage

There are many people sitting on the sidelines trying to decide if they should purchase a home or sign a rental lease. Some might wonder if it makes sense to purchase a house before they are married and have a family. Others may think they are too young. And still, others might think their current income would never enable them to qualify for a mortgage. We want to share what the typical first-time homebuyer actually looks like based on the National Association of REALTORS most recent Profile of Home Buyers & Sellers. Here are some interesting statistics on the first-time buyer:

Unmarried couples jumped up to the third spot, right after their married counterparts and single women. Many couples are buying a home before spending what would be a down payment on a wedding.

Bottom Line

You may not be much different than many people who have already purchased their first home. Meet with a local real estate professional today who can help determine if your dream home is within your grasp.

Bathrooms!

What do you think of this Stunning Victorian bathroom with white subway tile, beautiful Moroccan tiles along the floor and shower, stainless steel oversized shower head and a metallic freestanding tub???

The Difference an Hour Makes This Fall

Every Hour in the US Housing Market:

• 633 Homes Sell
• 253 Homes Regain Positive Equity
• Median Home Values Go Up $1.43
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What the current housing shortage means for you

If you've been thinking of trading up to a more luxurious home, you'll want to read this.

You may have heard that we're in the middle of a housing shortage.

It's certainly true for mid-market and lower-priced homes.

The number of such homes on the national market has declined over 40% in the last four years, and prices have increased accordingly.

There are a few different reasons behind this.

Builders have been focusing mostly on higher-priced homes. Investors have turned many lower-priced homes into rentals. More people are looking to buy thanks to historically low mortgage rates.

So yes, there’s a shortage...but what does this mean for you?

First, if you're looking to sell your home, the current market offers a great opportunity.

Thanks to the shortage in the market, you can sell your home more quickly.

This summer, the typical home stayed on the market for just 35 days, and 47% of homes sold in less than a month. Compare that to 2012, when the typical home was on the market for over two months!

You can also sell your home for more in today’s market. Prices are 5.3% higher now than they were a year ago, and many homes end up selling for more than their asking price.

Curious about how much your home is worth in the current market?

Taking into account recent sales, I can give you a good estimate of the current value of your home.

I mentioned that now is also a good time to trade up to a bigger, higher-priced home.

You see, prices of top-tier homes have grown at a slower rate than mid- and low-priced homes. In addition, 16% of top-tier homes over the last year sold for less than their asking price.

There is also a greater supply of premium homes — they now make up 46% of available homes on the market.

This means it’s a great time to buy a top-tier home.

What kinds of homes are for sale right now?

How Long Do Families Stay in a Home?

The National Association of Realtors (NAR) keeps historic data on many aspects of homeownership. One of the data points that has changed dramatically is the median tenure of a family in a home. As the graph below shows, for over twenty years (1985-2008), the median tenure averaged exactly six years. However, since 2008, that average is almost nine years - an increase of almost 50%.

Why the dramatic increase?

The reasons for this change are plentiful. The top two reasons are:

1. The fall in home prices during the housing crisis left many homeowners in a negative equity situation (where their home was worth less than the mortgage on the property).
2. The uncertainty of the economy made some homeowners much more fiscally conservative about making a move.

However, with home prices rising dramatically over the last several years, over 90% of homes with a mortgage are now in a positive equity situation with 70% of them having at least 20% equity. And, with the economy coming back and wages starting to increase, many homeowners are in a much better financial situation than they were just a few short years ago.

What does this mean for housing?

Many believe that a large portion of homeowners are not in a house that is best for their current family circumstances. They could be baby boomers living in an empty, four-bedroom colonial, or a millennial couple planning to start a family that currently lives in a one-bedroom condo. These homeowners are ready to make a move. Since the lack of housing inventory is a major challenge in the current housing market, this could be great news.

The Homebuying Process

It's your first time buying a home. Your family and friends are encouraging you and you know in your own mind, just what you want, but how do you go about buying your first piece of real estate. What should you be looking for? What do the contract terms mean? What steps are taken from the time of signing contract to the time of settlement? Following are some helpful hints and tips to guide you on the journey.

FHA 101

FHA is the largest insurer of residential mortgages in the world. FHA loan requirements and guidelines cover things like mortgage insurance, lending limits, debt to income ratios, credit issues, and closing costs. In order to prevent homebuyers from getting into a home they cannot afford, FHA guidelines have been set in place.