If owning a home is an important goal for you, you'll find that most of your neighbors and friends agree that home ownership is an essential part of the American Dream.
The American housing market, and the way Americans think about and practice home ownership, will change significantly as the nation emerges from the most severe recession of the post-World War Two era. What will not change, however, is a bedrock American confidence in the goal of home ownership. A report issued in May by The Demand Institute, a non-profit group that conducts and publishes consumer research, reiterates that 80% of all Americans still believe home ownership is the best long-standing investment they can make. That's the kind of faith that may help to fuel a vigorous, long-term recovery in the housing market and ancillary industries.
A measure of just how seriously Americans today value home ownership is the 7.3% increase in home equity in the first quarter of 2012. That's the highest quarterly percentage increase in home equity in 60 years, according to Bloomberg. With borrowing costs at all-time record lows, many Americans refinance their home loans and pay down principals with cash. In fact, 50% of the mortgages that were refinanced in the fourth quarter of 2011 reduced loan size, a record percentage according to Freddie Mac. While the equity increase is a strong sign that home-loan debt is easing for many Americans, “The willingness of homeowners to carry housing debt has been radically altered,” said Richard DeKaser, economist for the Parthenon Group LLC in Boston.
The Demand Institute report, titled The Shifting Nature of U.S. Housing Demand, also forecasts that American home prices will slowly begin to rise and could increase by 5% or more in the next five years in some markets.
This means that today is the perfect time to purchase a home, especially if you're looking at real estate in Sarasota, Florida, and the surrounding areas. Sarasota home prices are still low, interest rates are historically low, and there are many luxury condos and single-family homes for sale in Sarasota. AsExclusive Buyer Agents, we are ready to give you a VIP tour of the best properties for sale in Sarasota and beyond. Call us today (941) 918-1956.