Today’s millennials demands larger, much expensive homes than other previous generations, with an average price of $217,000 for 1,800 sq.ft. Much more pricey than baby boomer homes and just 11% less expensive than Gen X homes. 54% buy homes with shared amenities, such as a clubhouse with a community gym or swimming pool. These preferences make the suburbs the more economical choice for young home buyers.
Tips For The Millennial Homebuyer
The Millennial homebuyer, a consumer 18 to 34 years old, makes up 42 percent of the homebuyers today. This generation is making a huge impact on the housing business. It also faces unique challenges when buying a home. As a Millennial, you grew up during the Great Recession (December 2007 – June 2009). There’s a good chance you were touched by high unemployment, student loan debt and tight credit standards. Don’t let these challenges cause you to… Read more at The Mortgage Reports
The times of the renting and urban-dwelling millennial are fading. The young millennials’ impact is substantial and are increasingly shaping the way home buyers shop for their new homes. Home buyers under 36 years old make up half of the current housing market.
A look at millennial homebuyers
Millennials, also known as Generation Y, are the youngest group of buyers today. However, this market segment, ages 18-34, has to deal with some obstacles that were not a factor for previous generations. So, what are the top issues facing this group of prospective buyers and how they can overcome them?… Read more at Lansing State Journal
The Unique Profile of the Millennial Home Buyer of Today
Millennials are way more collaborative in their process of finding a home than the older generations are. They tend to utilize all the available tools, including their phones, social media and online networks. Older generations rely more heavily on the real estate agent for information and advice… Watch here
Household debt climbed to $12.58 trillion by the end of 2016, nearly breaking 2008’s record high, the article stated. In fact, if it continues at this rate, household debt could break the high of $12.68 trillion sometime in 2017.
Household debt to hit new record in 2017
Household debt climbed to $12.58 trillion by the end of 2016, nearly breaking 2008’s record high, the article stated. In fact, if it continues at this rate, household debt could break the high of $12.68 trillion sometime in 2017… Read more at Housingwire.com
The Federal Reserve Bank of New York reported last week that US household debt reached a new all-time high in the 1Q of this year. The new report also included some troubling internal metrics, not only on the overall household debt levels but also with regard to the level of delinquencies. I’ll give you the details below.
Household Debt Hits New Record High, Stocks Stumble
The New York Fed reported that US household debt and credit hit a new all-time high in the 1Q, despite the fact that the economy continues to recover (albeit slowly), the unemployment rate continues to fall and business investment has increased. The Fed reported that household debt climbed to a record $12.73 trillion at the end of the 1Q, up $149 billion from the 4Q of last year. Gains in mortgage debt, auto debt and student loan debt were all cited as reasons for the… Read more at Valuewalk.com
U.S. Household Debt: A New, Alarming Milestone
U.S. debt is on the rise and could reach a milestone level sometime in 2017. Student debt has risen for 18 consecutive years, and subprime loans are a growing worry in another sector… Watch here
The average consumer is predicting that there will be much higher mortagage rates in 2017, but this does not keep them from buying a new home. Higher rental rates are making the relative cost of owning a new home lower each day.
3-In-5 Consumers Now Predict Higher Mortgage Rates In 2017
Most recent National Housing Survey, 60 percent of consumers think the era of rates in the 3s is firmly in the past. The survey, which covers 1,000 households, measures changing consumer attitudes toward mortgages and housing nationwide.Attitudes have shifted surprisingly since a few months ago. In October 2016, “only” half of… Read more at The Mortgage Reports
Economists forecasts that mortgage rates will continue to go up in 2017, just one of the trends that suggest that this year will be a challenging year for people who will be purchasing homes.
Higher mortgage rates seen in 2017
Smoke predicts mortgage rates will reach 4.5 percent in 2017. Other economists expect rates to remain above 4 percent but not to go beyond 5 percent this year. That range would mean mortgage rates that would be low compared with the past decade. Average long-term mortgage rates were above 6 percent during the height of the last housing boom, and they hadn’t hit 5 percent before 2008. So someone looking to buy a home in the… Read more at Business Mirror
HOW THE FED’s INTEREST RATE INCREASE CAN AFFECT YOU 2017
Because the rate has been close to zero since 2008, as part of the Fed’s strategy to bring the nation out of a recession, there’s hardly anywhere for it to go but up. As the economy improves and President-elect Donald J. Trump unveils his stimulus package, economists expect rates to rise steadily over a period of years… Watch here
Home Depot proved there is definitely still demand for home improvement. The company announced on Tuesday that its revenue climbed 5.8% to $22.2 billion in the fourth quarter, beating earnings estimates. The largest home-improvement retailer is benefiting from a yearslong rebound in housing prices that has made homeowners more willing to spend on their properties because they see them as a sound investment.
Home Depot beats earnings estimates as revenue surges to $22B
Home Depot recorded a strong fourth quarter in 2016, thanks to homeowners continuing to value spending money on their properties, according to an article in Bloomberg by Matthew Townsend. The home improvement store’s profits increased to $1.44 a share last quarter… Read more at Housingwire.com
Home Depot said it plans to funnel more cash back to shareholders. The board boosted the company’s quarterly dividend 29 percent to 89 cents a share. The company increased its targeted dividend-payout ratio to 55 percent of net earnings, up from 50 percent.
Home Depot Profit Tops Estimates As Fix-up Spending Marches On
The largest home-improvement retailer is benefiting from a yearslong rebound in housing prices that has made homeowners more willing to spend on their properties because they see them as a sound investment. That’s helped Home Depot avoid the malaise that has spread across much of retail, where… Read more at SentinelSource.com
Profit increased to $1.44 a share last quarter, the Atlanta-based company said Tuesday. That topped analysts’ estimates and came along with strong sales and a plan to return more cash to shareholders… Watch here
The latest report from the California Association of Realtors, shows that closed escrow sales of existing, single-family detached homes in California totaled a seasonally adjusted annualized rate of 420,100 units in January 2017. That is an impressive up of 2.1% from the 411,430 level in December 2016, and up 4.4% when compared with home sales in January last year of a revised 402,220.
California home sales start 2017 on a strong note
According to the CAR report, the median price of an existing, single-family detached California home fell 3.8% from a revised $508,870 in December to $489,580 in January. That also marked the first time in since March 2016 that California’s median sales price fell below half a million dollars. But as CAR’s report notes, the decline from December to January is smaller than normal, which indicates health… Read more at HousingWire
The index rate, plummeted a full month to 3 months in March from 4 months in February. And added to that perspective, the index stood at 3.6 months in March 2016. Meanwhile, the median price of an existing, single-family detached California home increased to more than $500,000 in March, rising to $517,020.
Despite adverse conditions, California home-buying season off to a good start
While low housing inventory and slow wage growth are par for the course in California, the state pushed past those roadblocks to record a strong start to the year, according to the California Association of Realtors’ latest report, which collects data from more than 90 local Realtor associations and MLSs statewide. Closed escrow sales of existing, single-family detached homes in California totaled a seasonally adjusted annualized rate of… Read more at HousingWire
How NIMBYs drive up housing prices in California
Carson Bruno explains how NIMBYs are making California’s affordable housing crisis even worse by blocking much needed, high-density urban development projects… Watch here