News you can use
Two items in USA Today today that I need to point out about the housing market:
1. Home prices up 12%, U.S. says
WASHINGTON (AP) — Average U.S. home prices jumped 12% from the third quarter of 2004 to the same period this year, a slowing from the record pace of the previous quarter but a strong increase, federal regulators reported Thursday.
The figures released by the Office of Federal Housing Enterprise Oversight, the agency that oversees the big mortgage finance companies Fannie Mae and Freddie Mac, were the latest sign of a gradual cooling of the red-hot housing market. The Commerce Department reported Tuesday that sales of new homes jumped to an all-time high in October, in what could be a final spurt from a housing market that is expected to slow after five record-breaking years.
2. Rates on 30-year mortgages dip for second week
WASHINGTON (AP) — Rates on 30-year mortgages fell for a second consecutive week, but analysts believe the future direction will be up as the Federal Reserve keeps tightening credit to keep inflation under control.
Mortgage giant Freddie Mac reported in its weekly survey Thursday that rates on 30-year, fixed-rate mortgages averaged 6.26% this week, down from 6.28% last week.
Rates for 30-year mortgages hit 6.37% three weeks ago, the highest level in more than two years. Analysts attributed the two weeks of declines to market uncertainty over the economy.
"Mortgage rates are in a holding pattern at the moment as financial markets try to discern where inflation and growth in the economy are headed," said Frank Nothaft, Freddie Mac's chief economist.
"Until the market decides these issues, mortgage rates should stay within a relatively narrow band," he said.
Lots of media stories will give the impression that the sky is falling and the housing market is tanking. It's not. It's Dec. so the market is doing what it always does this time of the year. If you're not in the market for a house are you going to be out in the cold going to open houses? Probably not. If you are in the market for a home, don't pay attention to the media. Trust me, reporters enjoy making something seem more important than it is, they look for bad news at every turn. I used to be a reporter so I know how they think. Anyway, this is still a great time to buy and it's a great time to sell. If you want to do either, give me a call.
1. Home prices up 12%, U.S. says
WASHINGTON (AP) — Average U.S. home prices jumped 12% from the third quarter of 2004 to the same period this year, a slowing from the record pace of the previous quarter but a strong increase, federal regulators reported Thursday.
The figures released by the Office of Federal Housing Enterprise Oversight, the agency that oversees the big mortgage finance companies Fannie Mae and Freddie Mac, were the latest sign of a gradual cooling of the red-hot housing market. The Commerce Department reported Tuesday that sales of new homes jumped to an all-time high in October, in what could be a final spurt from a housing market that is expected to slow after five record-breaking years.
2. Rates on 30-year mortgages dip for second week
WASHINGTON (AP) — Rates on 30-year mortgages fell for a second consecutive week, but analysts believe the future direction will be up as the Federal Reserve keeps tightening credit to keep inflation under control.
Mortgage giant Freddie Mac reported in its weekly survey Thursday that rates on 30-year, fixed-rate mortgages averaged 6.26% this week, down from 6.28% last week.
Rates for 30-year mortgages hit 6.37% three weeks ago, the highest level in more than two years. Analysts attributed the two weeks of declines to market uncertainty over the economy.
"Mortgage rates are in a holding pattern at the moment as financial markets try to discern where inflation and growth in the economy are headed," said Frank Nothaft, Freddie Mac's chief economist.
"Until the market decides these issues, mortgage rates should stay within a relatively narrow band," he said.
Lots of media stories will give the impression that the sky is falling and the housing market is tanking. It's not. It's Dec. so the market is doing what it always does this time of the year. If you're not in the market for a house are you going to be out in the cold going to open houses? Probably not. If you are in the market for a home, don't pay attention to the media. Trust me, reporters enjoy making something seem more important than it is, they look for bad news at every turn. I used to be a reporter so I know how they think. Anyway, this is still a great time to buy and it's a great time to sell. If you want to do either, give me a call.
posted by Real Estate Girl @ 8:41 PM
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