Tuesday Raleigh Mortgage News – 10/27/2015
It’s STILL better to buy than rent, and Heritage FINALLY nears completion!
No surprise that the Bloomberg article below states that it’s still best to better to buy than rent in most major cities. If you click through the link, you will see the difference is vast in Raleigh. Rents keep getting higher, while the cost of home ownership hasn’t risen nearly as fast. And with all of the down payment assistance programs available, the barrier to entry is lower than ever!
Wake Forest people: Believe it or not, Heritage is almost complete. 15 years and over 2500 lots later, the end is nigh! Quite the run, and only more is to come for the growing town of Wake Forest.
Finally, here are some tips for a safe Halloween! And in case you were wondering, mortgage rates are still extremely low! As always, for a rate quote, or more information on anything mentioned here or elsewhere, feel free to contact me with any questions/queries.
5 Stories in the Triangle Mortgage and Real Estate Headlines (and more)
1. It’s Better for Millennials to Buy Than Rent—For Now
“A report from Trulia on Tuesday offers some hard solace for would-be homebuyers priced out of hotter housing markets. Across the U.S., the report said, it’s 23 percent cheaper for a young household to buy a home than to rent one. But in San Jose and Honolulu the advantage to buying is nonexistent. In New York and other expensive cities, the advantage to buying will likely disappear once mortgage rates finally rise. Trulia compared the median costs of buying and renting and found that San Jose and Honolulu are the only two U.S. cities where renting is a better deal.” Read more from Bloomberg
2. Post-Recession Price Gains Outstrip Housing Boom
“Price gains since the recent low have increased faster and were less driven by inflation than prices during the housing boom of the last decade according to commentary in the S&P/Case Shiller Home Price Indices report. Home prices increased slightly more on an annual basis in August than they did in July on all three of the company’s Home Price Indices (HPI). The U.S. National HPI, covering all nine U.S. census divisions had the smaller increase, gaining one additional percentage point while the two city composites each were up by two. The National Index posted a +4.7 percent change in prices compared to August 2014 compared to a 4.6 percent annual gain in July. On a month-over-month basis that index increased by 0.3 percent before being seasonally adjusted and 0.4 percent after.” Read more from Mortgage News Daily
3. The 11 things your Realtor won’t tell you but should
“Realtors live a conflicted life. On the one hand, they are salespeople. They only make money when their deal closes. On the other hand, they are consultants. They advise buyers and sellers throughout the deal process, ideally giving their clients advice that is disinterested from their own financial outcome.” Read more from the Washington Post
4. After impressive sales run, Heritage development nears completion
“When families relocating to the Triangle make a short-list of the developments they want to visit, chances are Heritage is on it. For the past 15 years, the sprawling residential development in Wake Forest and Rolesville has been among the top selling new home communities in the Triangle, averaging 165 sales per year since it opened in 2001. But with only 52 lots remaining out of 2,530, the residential build out of Heritage is almost complete. By the middle of next year, the half-dozen custom builders that control those lots expect to have sold their remaining inventory.” Read more from the News & Observer
5. Home builders haven’t felt this good about the housing market since 2005
“Home builders’ confidence in the housing market continues to grow, reaching a level not seen for 10 years. That’s according to the Housing Market Index, which is based on a survey of National Association of Home Builders’ members. The index jumped three points this month to 64, continuing a five-month trend of strong numbers. The survey gauges builders’ perceptions of current sales, expectations for sales in the next six months, and traffic of perspective buyers.” Read more from the Triangle Business Journal