Is Buying a Home Still an Affordable Choice?

These days, determining the affordability of buying a home isn’t such a simple calculation. There are always a lot of variables to consider – including prices, mortgage rates, wages, and local factors – but today’s housing market contains a number of contradictions that may make it even more difficult for potential buyers to figure out.

For example, home prices have recently been making a lot of news, mostly because they’ve regained much or all of the value lost following the housing crash. At the same time, though, mortgage rates have remained just above historic lows for the past several years. In other words, if you live in an area where home prices have been slower to rebound, low mortgage rates likely mean homes are still a good deal in your neighborhood. On the other hand, in some areas – where home prices have pushed beyond previous highs and low inventory is limiting available choices – favorable mortgage rates make less of an impact.

Here in Fremont buying is affordable for the average household, though challenges remain. Thanks to very low mortgage rates, monthly mortgage payments are affordable for the average household despite currently high house prices. Nevertheless, hurdles to homeownership arise from the difficulty of finding a house.

 

This advertisement was provided by Jennifer Bixby, of the Bixby & Sorensen Team and the broker for Don Peterson and Associates Real Estate, 100 E 6th St. Jennifer can be reached at 402-721-9700 for answers to questions regarding your real estate needs.

Don Peterson & Associates – Ask The Experts – KFMT 105.5FM – July 13, 2017

 

Janice Pruss and Libby Headid discuss John C. Fremont Days parade as well as some real estate tips for getting your home sale ready.  Listen on to hear  5 simple tips!

 

 

Don Peterson & Associates – Ask The Experts – KFMT 105.5FM – June 29, 2017

Brian Villwok and Kevin Prinz, two of our auctioneers, sit down to discuss the ins and outs of selling your property via auction and tag sale.  Listen on to find out more!

Today’s Typical Home Sells in Less than a Month

Home buyers are out in large numbers this spring. Proof of that can be found in the most recent sales report from the National Association of Realtors. Their monthly tally of how many previously owned homes sold the month before found that the typical home for sale was on the market for just 29 days in April, down from 34 days the previous month.

That’s a strong indication that buyer demand is outpacing the number of homes for sale this spring. And that’s saying something, especially since April saw a 7.2 percent increase in for-sale inventory by the end of the month. In other words, there are more homes coming on the market but still not enough to match the number of interested home buyers.

Lawrence Yun, NAR’s chief economist, says affordable homes are going fastest. “Homes in the lower and mid-market price range are hard to find in most markets, and when one is listed for sale, interest is immediate and multiple offers are nudging the eventual sales prices higher.” But despite the competition, buyers aren’t deterred. In fact, the number of first-time home buyers was up for the month and, a look at regional results, shows existing home sales are above or even with last year’s results in the South, West, and Midwest.

 

 

 

This article is provided by Jennifer Bixby, the broker for Don Peterson and Associates Real Estate and member of the Bixby & Sorensen Team, 100 E. 6th St.  Jennifer can be reached at 402-721-9700 for answers to questions regarding real estate.

Housing Markets Nationwide Hit Key Milestone

There are many ways to gauge the health of the housing market. But no matter which way you look at it, the ultimate goal is to figure out where things are headed and how that will affect home buyers and sellers, as well as current and future homeowners.

In other words, the data may differ but it’s all getting at the same question. Take the National Association of Home Builders’ Leading Markets Index – which compares current conditions to previous norms. The NAHB’s index looks at employment info, home prices, and building permits in 340 metropolitan areas across the country in an effort to determine how those markets have rebounded since the housing crash and what they should expect going forward.

According to the latest results, markets nationwide are running at an average of 100 percent of normal economic and housing activity. And, if that sounds good, it’s because it is. “This is the first time the LMI has reached this key milestone and it shows how much our industry has improved since the depth of the Great Recession,” Granger MacDonald, NAHB’s chairman, said in a press release. But though the data shows great strides across a majority of markets, it also shows that – while employment levels and home prices have rebounded strongly – building permits still lag behind. That’s an issue because many markets are in need of new homes to help provide options for buyers and keep affordability conditions under control.

T

 

his article is provided by Jennifer Bixby, the broker for Don Peterson and Associates Real Estate, 100 E. 6th St.  Jennifer can be reached at 402-721-9700 for answers to questions regarding real estate.

 

Fixer-Uppers Prove Popular with First Time Home Buyers

Last year, first-time home buyers spent 22 percent more renovating their new house than buyers the year before. The increase shows a significant spike in younger buyers who are willing to take on the challenge of buying a fixer-upper.

But what’s behind the surge? Well, one obvious reason to buy a house in need of some work is price. Naturally, if you’re going to find a bargain, it’s likely going to be because the house isn’t in the best shape. Depending on how handy you are – or how much savings you’ve built up – you may be inclined to grab a lower-priced house with a plan to upgrade it to your liking.

The other reason, which would help explain the recent spike, are current market conditions. Since inventory in many markets is low, there are fewer homes available for buyers to choose from. That means, more buyers are going to have to look at homes that may need a little help.

Nino Sitchinava, principal economist for Houzz, the company who conducted the survey, says recent buyers are always a big share of renovations and low inventory of affordable homes is helping to boost those numbers. “Younger and cash-constrained first-time buyers are responding to the low inventory of affordable homes by purchasing properties that require more than just cosmetic upgrades.”

 

This article is provided by Jennifer Bixby, the broker for Don Peterson and Associates Real Estate, 100 E. 6th St.  Jennifer can be reached at 402-721-9700 for answers to questions regarding real estate.

Don Peterson & Associates – Ask The Experts – KFMT 105.5FM – June 15, 2017

Marj Scheer-Carlson and Jennifer Bixby briefly discuss property assessments and also steps you can take to prepare to  sell your home.  Listen to more here!

 

Millennials Turn Traditional When it’s Time to Buy

Whenever the topic of millennial home buyers comes up, the assumption is that they’re all searching for urban lofts and using the latest tech to find them. In other words, the next generation of home buyers isn’t interested in the old way of doing things.

However, survey after survey seems to contradict those assumptions. In fact, recent surveys have found millennials are far more traditional than most assume. For example, a recent survey of Americans between the ages of 18 and 34 found large majorities said they’d prefer to work with a local real-estate agent and lender as opposed to online services when searching for a house to buy.

Doria Lavagnino, co-founder and president of CentSai, the company behind the survey, says younger buyers want the comfort and reassurance of a recommendation from someone they trust. “Buying a home for the first time is daunting, and working with a local agent – particularly an agent referred by a parent or friend – could provide peace of mind.” The survey also found a majority of respondents said they plan to buy in the next two years and – among those who said they don’t plan on buying – nearly 70 percent said it’s because they can’t afford to, rather than because they prefer to rent.

 

 

 

This article is provided by Jennifer Bixby, the broker for Don Peterson and Associates Real Estate, 100 E. 6th St.  Jennifer can be reached at 402-721-9700 for answers to questions regarding real estate.

Don Peterson & Associates – Ask The Experts – KFMT 105.5FM – June 1, 2017

Angie Hazen and Rob George talk about buying and selling commercial properties in the Fremont area as well as buying and selling homes.  Listen for more information!

Is What’s Outside As Important As The Inside?

When it comes to buying a house, most people focus first on what’s going on inside the house. The size of the kitchen, the number of bedrooms, closets, storage, etc., are all top concerns. But, according to a recent survey from the National Association of Realtors, access to outdoor recreation is nearly as important to most home buyers.

Respondents listed benefits such as better health, an appreciation of nature, and a greater sense of community among the reasons they believed it was important to be close to outdoor features. And it wasn’t a small number, either. Over 51% of participants living in the Midwest said outdoor recreation was either very or somewhat important to them.

With Fremont’s proximity to numerous lakes, the Platte River, golf courses, city parks and trails, there’s an outdoor activity for everyone. It’s clearly something to think about when searching for a home to buy – whether you’re buying a home by the water or just looking for something close to a neighborhood park.

 

This article is provided by Jennifer Bixby, the broker for Don Peterson and Associates Real Estate, 100 E. 6th St.  Jennifer can be reached at 402-721-9700 for answers to questions regarding real estate.