Wondering where the market has been going in 2012? It has only been positive for sellers as low inventory and high demand is dictating the market with multiple offers on reasonably priced homes, moving listings into escrow quickly. Overall, the State of California saw a 7.2% appreciation increase throughout the State of California for the 2012 Quarter 3. New information came from the Federal Housing Finance Agency ("FHFA") with continued proof of the changing marketplace. Buyer's beware.
With interest rates in the latter year in the 3's
for the most part, buying money has certainly never before been this
cheap. I have a feeling rates will continue in the same ball park, well
into next year with modest change in the percentage. The economy needs
Housing to act normal again and start performing, but without inflated
bubble nonsense.
Let's take a look at the below Assumption Model to take a quick peek as to the equity people have found this year through home ownership.
Assumption Model:
Area: Los Angeles - Long Beach - Glendale MSA
Purchase Date: Quarter 1 of 2012
Purchase Amount: $500,000
Value as of Quarter 3 of 2012: $543,735
The market has shifted. If you really want to nerd-out, click the House
Price Index tab after landing at the Federal Housing Finance Agency link. You can find your home's value
from the purchase point until now.
Having good credit is just the start. If you are a new buyer looking to purchase, you will have to be diligent in scouring the market daily. Anything good on market goes quickly. I have always been lucky with the offers I write as they typically make it through multiple / counter offers and provide happy buyers with the place of their dreams.
ABOUT HPI
The HPI is a broad measure of the movement of single-family house prices. The HPI is a weighted, repeat-sales index, meaning that it measures average price changes in repeat sales or refinancings on the same properties. This information is obtained by reviewing repeat mortgage transactions on single-family properties whose mortgages have been purchased or securitized by Fannie Mae or Freddie Mac since January 1975.
The HPI serves as a timely, accurate indicator of house price trends at various geographic levels. Because of the breadth of the sample, it provides more information than is available in other house price indexes. It also provides housing economists with an improved analytical tool that is useful for estimating changes in the rates of mortgage defaults, prepayments and housing affordability in specific geographic areas.
The HPI includes house price figures for the nine Census Bureau divisions, for the 50 states and the District of Columbia, and for Metropolitan Statistical Areas (MSAs) and Divisions.
The HPI is a broad measure of the movement of single-family house prices. The HPI is a weighted, repeat-sales index, meaning that it measures average price changes in repeat sales or refinancings on the same properties. This information is obtained by reviewing repeat mortgage transactions on single-family properties whose mortgages have been purchased or securitized by Fannie Mae or Freddie Mac since January 1975.
The HPI serves as a timely, accurate indicator of house price trends at various geographic levels. Because of the breadth of the sample, it provides more information than is available in other house price indexes. It also provides housing economists with an improved analytical tool that is useful for estimating changes in the rates of mortgage defaults, prepayments and housing affordability in specific geographic areas.
The HPI includes house price figures for the nine Census Bureau divisions, for the 50 states and the District of Columbia, and for Metropolitan Statistical Areas (MSAs) and Divisions.
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hang in there. modernhomeslosangeles just needs a quick peek before uploading your comment. in the meantime, have a modern day!