Reno ranks in the top one-third of the most affordable places to purchase a home in the country, according to the National Association of Home Builders(NAHB) / Wells Fargo Housing Opportunity Index which was released today. More than 83% of homes sold in the third quarter of 2010 were affordable to home earning the median income. Reno ranks as the 10th most affordable housing market in the West.
By comparison, in the same quarter last year, only 68% of median-income families could afford to purchase a home. That number was only 18% in the third quarter of 2006 and even smaller in the peak of 2005.
Showing posts with label homebuyers. Show all posts
Showing posts with label homebuyers. Show all posts
Thursday, November 18, 2010
Wednesday, October 27, 2010
Now is the Best Time to Buy a Home
Many potential home buyers are finding it difficult to filter out the media headlines and determine if now is the right time to buy a home. Most industry professionals agree buyers shouldn’t wait until prices and interest rates go up to buy -- now is the best time to buy a home.
Home prices in northern Nevada have dropped dramatically in the past few years and today’s mortgage interest rates are among the lowest in history. They’ve recently dipped again and borrowers can find a 30-year fixed loan for as low as 4.25percent. Rates were as high as 6.75 percent just a few years ago and in the double-digits 20 years ago.
As the economy rebounds the demands for mortgages will rise and so will interest rates. The effect of a rise in interest rates on monthly mortgage payments can be dramatic.
Based on the current median home sales price of $175,000, a 30-year fixed rate mortgage with a 4.25% interest rate has a monthly payment of $933 per month. At six percent the monthly payments increase to $1122 -- an increase of $189 a month. The total payments over the life of the loan increase by a whopping $68,040!
Home buyers that believe home prices will drop further could be making a very costly mistake. If the interest rates increase to six percent again, the home price would have to drop below $147,000 -- more than 16 percent -- to maintain the same monthly payments. House prices have begun to stabilize and bidding has become highly competitive, especially on the lower priced homes. It is highly unlikely that prices will drop that much.
Potential buyers frequently overlook the tax advantages of homeownership when considering if they should purchase a home. Mortgage interest and property taxes are great tax deductions.
While there are many variables to tax advantages, we estimate that a $175,000 mortgage with a 4.25 percent interest rate will generate $1,624 reduction in your tax liability annually.
This is the first time in four or five years that home prices and low interest rates have made northern Nevada an affordable place to live for most families. A family with a median income can afford to buy a median price home.
Low mortgage rates and affordable home prices will not last forever. The longer you wait the more you will have to pay to achieve your dream of homeownership!
Northern Nevada has many highly qualified Realtors, loan officers and builders that can be great help during your home shopping experience. To find more resources, contact the Builders Association of Northern Nevada at (775) 329-4611 or visit www.thebuilders.com.
Home prices in northern Nevada have dropped dramatically in the past few years and today’s mortgage interest rates are among the lowest in history. They’ve recently dipped again and borrowers can find a 30-year fixed loan for as low as 4.25percent. Rates were as high as 6.75 percent just a few years ago and in the double-digits 20 years ago.
As the economy rebounds the demands for mortgages will rise and so will interest rates. The effect of a rise in interest rates on monthly mortgage payments can be dramatic.
Based on the current median home sales price of $175,000, a 30-year fixed rate mortgage with a 4.25% interest rate has a monthly payment of $933 per month. At six percent the monthly payments increase to $1122 -- an increase of $189 a month. The total payments over the life of the loan increase by a whopping $68,040!
Home buyers that believe home prices will drop further could be making a very costly mistake. If the interest rates increase to six percent again, the home price would have to drop below $147,000 -- more than 16 percent -- to maintain the same monthly payments. House prices have begun to stabilize and bidding has become highly competitive, especially on the lower priced homes. It is highly unlikely that prices will drop that much.
Potential buyers frequently overlook the tax advantages of homeownership when considering if they should purchase a home. Mortgage interest and property taxes are great tax deductions.
While there are many variables to tax advantages, we estimate that a $175,000 mortgage with a 4.25 percent interest rate will generate $1,624 reduction in your tax liability annually.
This is the first time in four or five years that home prices and low interest rates have made northern Nevada an affordable place to live for most families. A family with a median income can afford to buy a median price home.
Low mortgage rates and affordable home prices will not last forever. The longer you wait the more you will have to pay to achieve your dream of homeownership!
Northern Nevada has many highly qualified Realtors, loan officers and builders that can be great help during your home shopping experience. To find more resources, contact the Builders Association of Northern Nevada at (775) 329-4611 or visit www.thebuilders.com.
Monday, February 8, 2010
The perfect storm of opportunity for first time homebuyers!
A trifecta of conditions (Low interest rates, reduced prices and first time buyer programs) makes now the perfect time to buy your first home.
The Nevada Housing Division provides mortgages and down payment assistance to for low to moderate-income families. The program currently has $102 million in funding for its first-time homebuyer program and expects its interest rate to stay at 4.5 percent for a while.
The Federal Government has also extended the first time homebuyer tax credit through April, 2010. These factors combined with reduced home prices make now the perfect time for first time homebuyers to invest in a home.
Read the full Reno Gazette Journal story by Jason Hidalgo
Housing division offers low rates for low-income first-time buyers
The Nevada Housing Division provides mortgages and down payment assistance to for low to moderate-income families. The program currently has $102 million in funding for its first-time homebuyer program and expects its interest rate to stay at 4.5 percent for a while.
The Federal Government has also extended the first time homebuyer tax credit through April, 2010. These factors combined with reduced home prices make now the perfect time for first time homebuyers to invest in a home.
Read the full Reno Gazette Journal story by Jason Hidalgo
Housing division offers low rates for low-income first-time buyers
Wednesday, October 7, 2009
Builders Call For Housing Reform and Economic Recovery
Please watch this video of our members and share it with everyone you know!
Regardless of where you live or what industry you work in, the health if the housing industry affects you. Housing is accounts for 20% of the GDP and is huge source of employment.
President Obama and congress are looking at extending the first time homebuyer tax credit which will help. The National Association of Home builders estimates that extending the tax credit as-is for just one year will create 187,00 jobs. Expanding that credit to all buyers of a primary residence will create nearly 350,000 jobs - in just one year. Please, urge congress to extend and expand the tax credit now.
On the local level, we must tell local governments to stop making it harder for us to do business by increasing fees and the cost of construction. These costs are passed on to the consumer and new homes cannot compete with the foreclosures and short sales. We know they need to generate revenue but we have to find another way.
HOUSING = JOBS!
Regardless of where you live or what industry you work in, the health if the housing industry affects you. Housing is accounts for 20% of the GDP and is huge source of employment.
President Obama and congress are looking at extending the first time homebuyer tax credit which will help. The National Association of Home builders estimates that extending the tax credit as-is for just one year will create 187,00 jobs. Expanding that credit to all buyers of a primary residence will create nearly 350,000 jobs - in just one year. Please, urge congress to extend and expand the tax credit now.
On the local level, we must tell local governments to stop making it harder for us to do business by increasing fees and the cost of construction. These costs are passed on to the consumer and new homes cannot compete with the foreclosures and short sales. We know they need to generate revenue but we have to find another way.
HOUSING = JOBS!
Friday, September 4, 2009
Best-selling author and nationally known real estate investment advisor says October 2009 will bring an end to the downturn.
Robert Allen announced today that in his best estimation we will hit a bottom to the real estate downturn this coming October and that now is a good time to buy. This comes on the heels of noted financial expert Jim Cramer's prediction that June 2009 would bring a bottom to the market.
Source: PRWeb September 4, 2009
"What's changed from a few months ago is that inventory has begun shrinking, bidding wars have started across the country, and prices are finally starting to rise in many markets. I'm encouraging all my clients to start looking for properties again," said Allen.
"Smart real estate investors who buy carefully during these years will not see better bargains for many, many years to come. For many, this will be the best buying opportunity of their lifetime. About every ten years, the circumstances converge to create amazing bargains. We will look back on these years with fondness, like we look back at 1974-1975, 1981-1982, 1989-1990 and 2001-2002… as times when the deals were plentiful and fortunes were made."
Read more...Source: PRWeb September 4, 2009
Friday, August 28, 2009
Urge Congress to extend and expand homebuyer tax credit
The housing industry has recently seen a small boost in homes sales due to the $8,000 first-time homebuyer tax credit. The credit is set to expire on November 30, 2009, but in order to continue helping America recover from the recession, the housing industry still needs support.
Homebuilders across America are asking Congress to extend the $8,000 tax credit through November 30, 2010, and expand it to include all home purchasers, not just first-time buyers.
If Congress extends the tax credit program, it would spur 383,000 more home sales across the country; including 80,000 housing starts down the road as the increased sales help deplete the current inventory of unsold homes. This stimulus will create nearly 350,000 jobs over the coming year nationally…over 3,800 of those would be right here in northern Nevada.
You can make your voice heard by letting your members of Congress know that housing equals jobs, and to restore America, we must revive housing.
Call your members of Congress today toll-free at 866-924-6242 and tell them to:
- Extend the deadline for the $8,000 tax credit through November 30, 2010
- Make it available to all home buyers
Thank you for your help in letting Congress know that to restore America, we must revive housing.
Homebuilders across America are asking Congress to extend the $8,000 tax credit through November 30, 2010, and expand it to include all home purchasers, not just first-time buyers.
If Congress extends the tax credit program, it would spur 383,000 more home sales across the country; including 80,000 housing starts down the road as the increased sales help deplete the current inventory of unsold homes. This stimulus will create nearly 350,000 jobs over the coming year nationally…over 3,800 of those would be right here in northern Nevada.
You can make your voice heard by letting your members of Congress know that housing equals jobs, and to restore America, we must revive housing.
Call your members of Congress today toll-free at 866-924-6242 and tell them to:
- Extend the deadline for the $8,000 tax credit through November 30, 2010
- Make it available to all home buyers
Thank you for your help in letting Congress know that to restore America, we must revive housing.
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