August 17th, 2015 5:07 AM by Jackie A. Graves
Housing Prices are on
you wonder if your dream home will be more of less this fall? Well, there’s
some pretty strong evidence that it won’t be less.
instance, one of the most closely watched housing price indices is the
S&P/Case-Shiller composite, and as of March, 2015, its 20-metropolitan area
index was up 5 percent from the year before. In some places, like San Francisco
and Denver, the rise over the past year reached double digits.
Blitzer, chairman of the S&P Dow Jones Index Committee told Reuters,
"I would describe this as a rebound in home prices, not bubble and not a
reason to be fearful," he told Reuters.
you’re worried about that dream home getting too pricey...
It’s the perennial debate, right? When you rent, you’re
building no equity and get no tax break, but you also dodge the bill for
plumbing repairs. Owning gets you those bills, but also gives you a huge tax
break and, with the right
mortgage, you never get a “rent” increase. Plus, if all goes right,
you’ll own your home during retirement.
which is cheaper? According to a report by Forbes in October, 2014, buying a
home is a whopping 38 percent cheaper than renting. “Homeownership remains
cheaper than renting nationally and in all of the 100 largest metro areas,” the
And that was when rates were about half a point higher
Which brings us to the last point…
Mortgage Rates Are Expected to Rise Soon
been a long time coming – specifically nine years. That’s the last time the
Federal Reserve raised short-term interest rates, and thereby triggered a rise
in mortgage interest rates. But by all indications, they’re set to raise rates
will take a significant deterioration in the economic picture for me to be
disinclined to move ahead [with raising interest rates],” Federal Reserve Bank
of Atlanta President Dennis Lockhart told the Wall Street Journal on August 4,
move is because of the fear of inflation and strengthening of the economy.
Terence Loose – To view the original article click here