Rising rents are causing more Americans to look into purchasing. Many renters are delighted to discover they’ll actually pay less each month once they own their home.
An improving job picture also is encouraging more young adults to buy their first home now. “After 14 months of job gains, I expect the economy to continue its slow but determined recovery,” predicts one real estate economist.
Increased home sales and higher real estate values also are forecast for 2012 by the National Association of Realtors (NAR). Low mortgage rates and great home prices have pushed housing affordability to record levels, NAR explains.
More Americans are responding to these positive opportunities. Real estate sales will increase by five percent this year, predicts NAR.
Households purchasing today typically are spending a smaller percentage of their income on home payments. Of course, we don’t know how long these advantageous conditions will be available for buyers.
IT’S BUYING TIME
Researchers explain that consumers’ willingness to buy a house has been steadily climbing. A study from the Research Institute for Housing America recently discovered that almost 80 percent of adults believe now is a good time to purchase a home.
Positive sentiment about buying real estate has returned to its long-term average, the analysis reports. Most Americans now believe house prices will increase over the coming year, adds Fannie Mae’s National Housing Survey.
Even a modest boost in property values will offer positive effects for many Americans. More owners then can refinance at lower rates, and families will find it easier to sell their residence and move.
Real estate is a crucial factor in our financial lives. Today homeowners have a total of $6 trillion in equity. Gaining the highest benefit from owning your house is a worthwhile goal.