Home Prices Holding Up for Now

According to experts, one of the remarkable aspects of today’s real estate market nationwide, is the strength of the median price, up slightly over a year ago. The median price in July, 2010 was $182,600, and when you factor in the slowdown in sales volume, since the home buyer tax credit ended, the resiliency in pricing is a positive one. Homes are priced at a level that seems to match closely with the household’s ability to pay, and according to experts, that’s a reasonable place for home prices to be at the present time.

Flood Insurance Program Deeply in Debt

The National Flood Insurance program is over $19 billion in the red ink, says the Congressional Budget Office, and it will add another $900 billion a year to its debt figures. Various reasons are given, but the biggest seems to be leniency in allowing flooded home owners to rebuild, again and again, on the same ground in the country’s worse flood planes, and some claimants have received more than 10 times the value of their properties. The second biggest issue is the discounts for 2nd homes, many going to wealthy owners in very ‘high end’ areas.

Foreclosures are Down, but Late Pays are up

According to the latest data from The Mortgage Bankers Association’s National Delinquency Survey, mortgage loans that were in the foreclosure process at the end of the second quarter decreased over last months figures, but increased over 2009 second quarters figures. Loans that were 90 days or more past due, or in the process of foreclosure decreased over last quarter, but increased over 2009 second quarters figures. Foreclosures starting the process are down, falling for the first time since 2006. “Only when we see a consistent increase in employment will se see an increase in sales and starts, and a sustained improvement in the delinquency numbers,” according to Jay Brinkmann, Mortgage Bankers Association chief economist.

Mortgage Interest Rates Continue Downward (Caution !)

New record lows for long term mortgages have been recorded in the last few weeks with all indications that the mortgage rates will continue a slow decline until it is clear that the current economic conditions in the country start to improve. Its pretty much agreed upon by all of the experts that until the job situation in this country starts to improve drastically, rates will stay as low as they are now, but will start an upward climb when the jobs picture improves.

Buying Is A Good Investment

Acording to the August 23rd issue of The Motley Fool, it is a great time to purchase your new home. Just keep these three things in mind.
• A good  Location
• A home that is priced fairly.
• Do not overbuy a home,  stay within your price range.

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