Why the Housing Market is Experiencing "Buy Shy" And Its Implications On Home Value

If you are looking to buy a home, it is important to keep up with the current trends of buyers currently in the market -- it can help you find incredible deals. If you are trying to sell your home and wondering where all the buyers have gone to, you certainly need to equip yourself with knowing the economic landscape potential buyers have to navigate these days, and how you can best position yourself in front of them. Here is an article that pinpoints a lot of factors that explain the current level of wariness experienced by so may hopeful homeowners.

If you are a hopeful homeowner looking in the Houston area that needs some questions answered about how to have a successful home buying experience, give us Lauri Kent a call or email Lauri Kent at Lake Conroe Realty Now. Lauri also searches for incredible homebuying values in the Greater Houston market, and showcases some great value homes on Lauri's Super Affordable Real Estate Finds.

RISMEDIA, October 12, 2010--Nearly two-thirds of Americans say the current economic situation is making them less likely to buy a house, according to a new national survey by FindLaw.com (http://www.findlaw.com), a popular legal information website.

Sixty-three percent of American adults say they are less likely to buy a house because of the current state of the economy. Despite record-low mortgage rates and an abundance of houses available on the market, only 8 percent of people say the current economic situation makes them more likely to buy a house. About a quarter of people – 28 percent – say they are neither more likely nor less likely to buy a house because of the economy.

In particular, the current economy is driving lower-income individuals and families out of the market. People with annual incomes less than $50,000 were significantly more likely to say they are less inclined to buy a house than people with higher incomes.

"The current economic situation has greatly changed the dynamics of the housing market," said Stephanie Rahlfs, an attorney and editor with FindLaw.com. "Although mortgage rates are near record lows, stricter lending requirements are often making it more difficult for many people to obtain mortgages. High unemployment rates are raising concerns about housing appreciation, affordability and foreclosures. Together, these factors are causing many people to shy away from the idea of buying a house. Buying a home, selling a home and owning a home are all becoming more complicated, and it's important to know the ins and outs of contracts, finances and your rights as a buyer, seller or owner."

Free Internet resources such as the FindLaw Real Estate center (http://realestate.findlaw.com/) can provide helpful information on buying, selling and owning a home, including obtaining a loan, borrowers' rights, finding the best mortgage, homeowners' rights, avoiding foreclosure and more. It also has useful information for renters, including negotiating a lease, tenants' rights, and fair housing and discrimination laws.

The FindLaw.com survey was conducted using a demographically balanced telephone survey of 1,000 American adults and has a margin of error of plus-or-minus 3 percent.

The Latest Information On National Flood Insurance: Extended to 2011

It lapsed. 

It lapsed again.

And just when in September it seemed duty-bound to be a three-time lapse dog,  those elected representatives in DC surprised us all and finally did something about it. They extended National Flood Insurance for a year.

During lapses, existing flood policies remained in force for those who have them, but new policies could not be written or renewed. But now that President Barack Obama signed S. 3814 into law Thursday, we now have a federal flood insurance program that is in force through Sept. 30, 2011.

As a real estate professional, I always caution home owners that one of the only things a homeowner can absolutely control is the maintenance of their home -- and ensuring that they have thorough home insurance coverage in the event of a disaster.  IF you are in need of some direction on who to call to evaluate what kind of coverage you have, call me at 936-447-6000 and browse the information available on my website at Lake  Conroe Realty Now.

Here is the official word from the National Association of REALTORS® about it:

National Flood Insurance Extended Through 2011
The National Association of REALTORS® is pleased to report that Congress has unanimously approved a one-year extension, until Sept. 30, 2011, for the National Flood Insurance Program (NFIP). A long-term extension has been a top legislative priority for NAR. Earlier in 2010 the NFIP lapsed, causing major disruptions for REALTORS®, and with the Sept. 30 deadline fast approaching, NAR redoubled its efforts to extend the program.

REALTOR® advocacy efforts helped make the long-term extension a reality. When Congress returned to Washington, D.C. in mid-September, NAR was waiting with its federal political coordinators who came to D.C. to meet with key senators and urge the long-term extension. Additionally, on Sept. 22 NAR was ably represented by Maryland REALTOR® Nick D’Ambrosia. He stressed to the Senate Committee on Banking NAR’s commitment to extend and strengthening the program beyond 2011 for the long-term. While the one-year extension brings a level of certainty to the NFIP, there needs to be comprehensive reform measures to place the NFIP on more sound financial footing for at least another five years.

Flood Insurance Timeline

Sept. 21, 2010 S. 3814 Approved by Unanimous Consent in the Senate

Sept. 23, 2010 S. 3814 Approved by Voice Vote in House of Representatives

The bill now heads to President Obama for his signature as soon as next week. With program authority now extended for a year, it is expected that attention will turn to proposals to reform and ensure the financial soundness of the NFIP. While the House passed its reform bill (H.R. 5114) earlier this year, it is unlikely that a comprehensive reform bill will move until the 112th Congress goes into session next year.

Source: NAR

I would be honored to help you with real estate needs in the North Houston area. Feel free to give me a call at 936-447-6000 to set up a one-on-one consultation or a showing of the real estate properties that I have available.  You can also reach me with any real estate questions that you may have through my Contact Us page.