What's holding back housing
These nine major factors will likely weigh down housing markets in the year ahead. » Chance for a rebound?
http://finance.yahoo.com/news/Mortgages-What-You-Need-to-bizwk-13942267.html
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You have to go back to around 1961 to find a time when 30-year mortgages had rates this low, according to Keith Gumbinger, a vice-president at financial publisher HSH Associates in Pompton Plains, N.J.
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Rates are probably headed even lower in 2009, raising the question of whether you should borrow now or wait for a better deal. The experts are sharply divided over this one. Put it this way: If you're a gambler, wait. If you can't sleep at night worrying that rates will go up from here, borrow now.
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Now More Than Ever, Shop Around
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according to Cameron Findlay, chief economist of LendingTree.com, a division of Home Loan Center. No offense to Bank of America, but only a sucker would have borrowed from it instead of Wells Fargo that day.
For New Loans, Get a Fixed Rate
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First-Time Borrowers: Get Credit Counseling
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Says Rick Sharga, marketing vice-president at RealtyTrac: "Most people getting into the market for the first time seriously underestimate the cost of maintaining a home, from taxes to upkeep. What happens if that water heater blows ? Do you have enough money to pay for it without missing a mortgage payment ?"
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Think Hard About Refinancing Now
The decision ... comes down to personal risk preferences.
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http://finance.yahoo.com/real-estate/article/106346/10-Worst-Real-Estate-Markets-for-2009
10 Worst Real Estate Markets for 2009
The housing market hasn't bottomed out yet. For the third quarter, the closely-watched S&P Case-Shiller national home-price index fell 16.6%, and experts are predicting further declines. Of the top 100 markets, here are 10 with the worst forecasts.
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http://realestate.yahoo.com/promo/9-housing-market-head-winds-for-2009.html
9 Housing-Market Head Winds for 2009
Dec 19th, 2008
says Mike Larson, a real estate analyst at Weiss Research.
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1. Recession: After months of speculation, the National Bureau of Economic Research
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economists at Goldman Sachs
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2. Higher Unemployment:
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"This forecast, if correct, makes the current recession unequivocally the worst single downturn on record since World War II insofar as increases in joblessness are concerned," the economists said.
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3. Consumer Confidence: If consumers are worried about the state of the economy and their jobs, they are much less likely to make the biggest financial investment of their lives: buying a house.
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4. The Underwater Effect: A recent Zillow report found that 1 in 7 American homeowners has negative equity—owing more on a home than it is worth.
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Many homeowners in this situation will choose to simply walk away from their homes rather than continue to pay off a devaluing investment
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says Christopher Thornberg of Beacon Economics.
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5. Tighter Credit:
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The Federal Reserve's most recent Senior Loan Officer Survey
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6. Slowing Household Formation:
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Richard Moody, chief economist at Mission Residential
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More singles are moving in with each other, young adults are returning to live with their parents, and fewer immigrants are entering the country.
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7. Radioactive Effect:
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"Enough of your 'average Joes' have been burned very badly and will be burned by the time this is all over that investment money is not going to flood back into the market," Larson says.
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8. Foreclosure Sales:
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" While that will give buyers an opportunity to go bargain hunting, it's bad news for sellers. "It puts more homes out there for sale at a very deep discount," Zandi adds.
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9. Subprime Mortgages:
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