Posted on

The Cost of Waiting: Interest Rates Edition [INFOGRAPHIC]

The Cost of Waiting: Interest Rates Edition [INFOGRAPHIC] | Simplifying The Market

Some Highlights:

  • Interest rates are projected to increase steadily heading into 2019.
  • The higher your interest rate, the more money you end up paying for your home and the higher your monthly payment will be.
  • Rates are still low right now – don’t wait until they hit 5% to start searching for your dream home!
Posted on

Homes More Affordable Today than 1985-2000

Homes More Affordable Today than 1985-2000 | Simplifying The Market

Rising home prices have many concerned that the average family will no longer be able to afford the most precious piece of the American Dream – their own home.

However, it is not just the price of a home that determines its affordability. The monthly cost of a home is determined by the price and the interest rate on the mortgage used to purchase it.

Today, mortgage interest rates stand at about 4.5%. The average annual mortgage interest rate from 1985 to 2000 was almost double that number, at 8.92%. When comparing affordability of homeownership over the decades, we must also realize that incomes have increased.

This is why most indexes use the percentage of median income required to make monthly mortgage payments on a typical home as the point of comparison.

Zillow recently released a report comparing home affordability over the decades using this formula. The report revealed that, though homes are less affordable this year than last year, they are more affordable today (17.1%) than they were between 1985-2000 (21%). Additionally, homes are more affordable now than at the peak of the housing bubble in 2006 (25.4%). Here is a chart of these findings:

Homes More Affordable Today than 1985-2000 | Simplifying The Market

What will happen when mortgage interest rates rise?

Most experts think that the mortgage interest rate will increase to about 5% by year’s end. How will that impact affordability? Zillow also covered this in their report:

Homes More Affordable Today than 1985-2000 | Simplifying The Market

Rates would need to approach 6% before homes became less affordable than they had been historically.

Bottom Line

Though homes are less affordable today than they were last year, they are still a great purchase while interest rates are below the 6% mark.

Posted on

Top 4 Home Renovation For Maximum Return On Investment (ROI)

Renovation for Max Return On Investment

Renovation For Maximum Return On Investment

Renovation For Maximum Return On Investment

Top 4 Home Renovations for Max ROI [INFOGRAPHIC] | Simplifying The Market

Renovation For Maximum Return On Investment  Highlights:

  • Whether you are selling your home, just purchased your first home or are a homeowner planning to stay put for a while, there is value in knowing which renovation projects will net you the most Return On Investment (ROI).
  • A minor bathroom renovation can go a long way towards improving the quality of your everyday life and impressing homebuyers.
  • Adding curb appeal by upgrading your landscaping helps get buyers in the door.  These upgrades rank as the 2nd and 4th renovation for returns on investment.

 

If you are searching for a Bergen County Realtor contact Steven Batista at 201-207-5217. I help with all your real estate needs.

 

Posted on

Inventory Drop Fuel Sales Slowdown [INFOGRAPHIC]

Drop in Inventory Fuels Sales Slowdown [INFOGRAPHIC] | Simplifying The Market

Drop in Inventory Fuels Sales Slowdown [INFOGRAPHIC] | Simplifying The Market

Some Highlights:

  • Existing Home Sales are now at an annual pace of 5.46 million.
  • Inventory of existing homes for sale dropped to a 4-month supply marking the 35th month of declines.
  • The median price of homes sold in April was $257,900. This is the 74th consecutive month of year-over-year price gains.

If you are in the real estate market to buy real estate or sell real estate,  contact Steven Batista, today!

Posted on

A Tale of Two Markets [INFOGRAPHIC]

A Tale of Two Markets [INFOGRAPHIC] | Simplifying The Market 

Some Highlights:

  • A trend that has been emerging for some time now is the contrast between inventory & demand in the Premium & Luxury Markets vs. the Starter & Trade-Up Home Markets and what that’s, in turn, doing to prices!
  • Inventory continues to rise in the luxury & premium home markets which is causing prices to cool.
  • Demand continues to rise with low inventory in the starter & trade-up home markets, causing prices to rise!

Source: Keeping Matters Current

Posted on

VA Loans by the Numbers [INFOGRAPHIC]

VA Loans by the Numbers [INFOGRAPHIC] | Simplifying The Market

Some Highlights:

  • Since the creation of the VA Home Loans Program, 22 million veterans have been able to achieve the American Dream of homeownership.
  • In 2017, $188 billion was loaned to veterans and their families through the program.
  • VA Purchase Loans are on the rise in 46 out of 50 states and Washington, DC.

Source: Keeping Matters Current

Posted on

4 Reasons to Sell This Spring [INFOGRAPHIC]

4 Reasons to Sell This Spring [INFOGRAPHIC] | Simplifying The Market

4 Reasons to Sell This Spring [INFOGRAPHIC] | Simplifying The Market

Some Highlights:

  • Buyer demand continues to outpace the supply of homes for sale which means that buyers are often competing with one another for the few listings that are available!
  • Housing inventory is still under the 6-month supply needed to sustain a normal housing market.
  • Perhaps the time has come for you and your family to move on and start living the life you desire.

Source: Keeping Matters Current

If you are in the market to sell real estate contact your Century 21 Allstars 100 Real Estate Agent, Steven Batista, today for a complimentary Comparative Market Analysis (CMA)!

Posted on

Should I Wait Until Next Year to Buy? Or Buy Now? [INFOGRAPHIC]

Should I Wait until next Year to Buy? Or Buy Now? [INFOGRAPHIC] | Simplifying The Market

Some Highlights:

  • The Cost of Waiting to Buy is defined as the additional funds it would take to buy a home if prices & interest rates were to increase over a period of time.
  • Freddie Mac predicts interest rates to rise to 5.1% by 2019.
  • CoreLogic predicts home prices to appreciate by 4.3% over the next 12 months.
  • If you are ready and willing to buy your dream home, find out if you are able to!

Source: Keeping Matters Current

Posted on

5 Reasons Homeowners Can Throw Better Super Bowl Parties! [INFOGRAPHIC]

5 Reasons Homeowners Can Throw Better Super Bowl Parties! [INFOGRAPHIC] | Simplifying The Market

5 Reasons Homeowners Can Throw Better Super Bowl Parties! [INFOGRAPHIC] | Simplifying The Market

Highlights:

  • Watching the big game at home with your friends & family offers many advantages.
  • There’s more room to entertain a large crowd and you don’t have to worry about complaints to your landlord if you cheer too loudly!
  • The kitchen is big enough to make as many appetizers as you want, and if some of your guests are only there to watch the commercials, they can do so on a different TV in another room!

Source: Keeping Matters Current