Rent vs. Buy Decision More Than A Question of Affordability

Rent vs. Buy Decision More Than A Question of Affordability

…For a growing number of those seeking shelter, the affordability component of the rent-vs.-buy comparison takes a back to seat to finding housing that accommodates their lifestyle.

“For decades, Americans have scrimped and saved in order to buy that starter house and begin accruing equity. But do the same benefits of home ownership apply in every situation?” asks Dima Deych Marketing Director at Mayo Group, a Boston, MA-based real estate investment, development and management company.

Apparently not.

Deych says there are a host of considerations beyond affordability shelter seekers should consider before they buy or rent.

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Check out our helpful video to follow the adventures of Bob and Sally as they learn about renting versus buying a home.

Mortgage foreclosures down in Tacoma in April, but delinquencies rise

Mortgage foreclosures down in Tacoma in April, but delinquencies rise

Foreclosures are down but delinquencies are up in Tacoma.

The analytics firm CoreLogic reported this week that the Tacoma foreclosure rate – for foreclosures among outstanding mortgage loans – fell to 2.12 percent in April, a decrease of 1.04 percent compared to April 2011.

Foreclosures in Tacoma were was lower than the national average of 3.41 percent in April, the company said.

However, the mortgage delinquency rate increased in April, when 9.24 percent of mortgage loans in Tacoma were 90 days or more delinquent. This compares to 8.52 percent for the same period a year ago.

Read More on The News Tribune…

Pending home sales match two-year high

Pending home sales match two-year high

Here’s yet another sign that the housing market may be coming back.

Contracts to purchase previously owned U.S. homes matched a two-year high in May, fueling optimism the housing market is poised for a recovery.

The National Association of Realtors said on Wednesday its Pending Home Sales Index, based on contracts signed last month, rose 5.9 percent to 101.1. The index level matched the two-year high reached in March, while the gain was the largest since October 2011.

Before March, the last time pending home sales were as high was April 2010 when buyers were rushing to beat the deadline for a home-buyer tax credit, which was about to expire, the NAR said.

“The housing market is clearly superior this year compared with the past four years,” Lawrence Yun, NAR chief economist said in a statement. “We’re on track to see a 9 to 10 percent improvement in total sales for 2012.”

Read More on MSNBC…

No Need To Rush To Buy

No Need To Rush To Buy

Interest rates are at record lows, housing is more affordable than it has been in nearly a decade and multiple offers are in the air.

Kiplinger.com recently reported the monthly cost of owning a home is far cheaper than renting, given the recent spikes in rent. At current mortgage rates, home prices would have to rise by 35 percent to tip the scales.

It appears the housing recovery is afoot, but that rush-to-buy-before-the-bargains-are-gone mentality may be misplaced.

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US new-home sales rose at fastest pace in 2 years

US new-home sales rose at fastest pace in 2 years

Americans bought new homes in May at the fastest pace in more than two years. The increase suggests a modest recovery is continuing in the U.S. housing market, despite weaker job growth.

The Commerce Department said Monday that sales of new homes increased 7.6 percent in May from April to a seasonally adjusted annual rate of 369,000 homes. That’s the best pace since April 2010, the last month that buyers could qualify for a federal home-buying tax credit.

Even with the gains, the annual sales pace is less than half the 700,000 that economists consider to be healthy.

Yet the increase follows other signs that show the housing market is slowly improving nearly five years after the bubble burst.

Read More on The Seattle Times…