Nenita Dasalla- Single Family Residence Real Estate Sales Consultant

Wall Street Journal
For homeowners who have been waiting for interest rates to fall even further before refinancing, it might be time to pull the trigger on a deal.  Rates are moving up – and could stay higher for a while, experts say.

Read the full story:
http://online.wsj.com/article/SB10001424052702303812904577295762407392928.html?mod=WSJ_RealEstate_LeftTopNews

Fannie Mae’s latest quarterly National Housing Survey focuses on the state of homeownership aspirations among Americans across all demographic groups. The survey finds that despite the recent housing crisis, most Americans continue to believe that owning their home is preferable to renting it. The data also indicate that while financial constraints and employment concerns may be keeping potential home buyers on the sidelines in the near term, future improvements in employment and personal finances, a pickup in interest rates in response to stronger economic growth, and stabilizing home prices may move Americans to act on their aspirations in coming years.

• Across all education levels, Americans say owning makes more sense than renting.  This belief is held consistently across all demographic groups.

• Nearly two-thirds of current renters say that they will buy a house at some point in the future.

• Non-financial factors such as safety and quality of local schools continue to be the top reasons for buying a home across all income groups.

• African-Americans and Hispanics are more likely to cite various benefits, such as buying a home as a way to build wealth, homeownership as a symbol of success, and civic benefits.

Attitudes about homeownership as an investment, financial constraints, and mortgage accessibility may mean that more Americans choose not to act on their aspiration for homeownership, thus potentially leading to lower homeownership rates.

• The margin of Americans believing homeownership has the highest investment potential has declined over the past several years.

• At the same time, the perceived safety of owning a home as an investment has trended downward, reaching a low of 63 percent in the fourth quarter of 2011.

• In turn, groups with higher levels of education and higher incomes are more likely to think buying a home is a safe investment.

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San Diego Union-Tribune
A California real estate agent has launched an awareness website that aims to stop strategic defaults, which are when underwater borrowers choose to walk away from their homes even though they are able to afford their mortgages.

Read the full story:
http://www.utsandiego.com/news/2012/mar/16/website-aims-stop-strategic-defaulters/

• On closing day, most home buyers are excited about the prospect of moving into their new home.  One important final step must be accomplished before settlement: A final walk-through.
• While plenty of buyers whip through each room with a glance, eager to unpack, real estate experts suggest home buyers are better served by a slow and careful inspection.
• While some REALTORS® recommend conducting the final walkthrough hours before closing, others advise doing the walkthrough the day prior.  However, if a significant weather event has occurred between the last time the buyer saw the house and settlement day, like a windstorm, heavy rain, or snowfall, buyers should visit the home again to check on the condition just before settlement.  Once the settlement papers are signed, the seller has no obligation to fix anything anymore.

A new report by NAR in collaboration with several other housing-related agencies shows that aging baby boomers and their echo boomer children will significantly impact trends in the nation’s housing market over the next 20 years. In the report, researchers analyze key demographic trends and their likely influence on housing and homeownership in the U.S.

Over the next two decades, the aging baby boomer generation will swell the nation’s senior population by 30 million. That demographic shift will likely help increase the supply of housing, since people over age 65 typically release much more housing than they absorb.

The echo boom generation includes nearly 65 million people born between 1981 and 1995. NAR’s analysis illustrates the potential impact of economic and housing policy on this generation’s demand for housing as they come of age.

“Housing, jobs and the economy are inextricably connected,” said Yun. “A strong recovery with favorable housing market conditions would encourage substantial growth in echo boomer households, which would help absorb the current vacant inventory and stabilize conditions for residential construction. Under a reasonable ‘middle’ recovery scenario, approximately 12 million new households will be formed over the next decade, requiring construction of up to 15 million new housing units.”

NAR President Moe Veissi noted that current market trends favor would-be homeowners of all ages. “As the supply of rental housing continues to fall, rents are increasing,” said Veissi, broker-owner of Veissi & Associates Inc., in Miami. “At the same time, affordability for homeowners is at a record high. For buyers who qualify and are ready to assume the responsibilities of owning a home, opportunity is knocking.”

http://www.realtor.org/press_room/news_releases/2012/03/influence