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The Best And Worst States For Millennial Homebuyers

In order to help Millennials find affordable housing, a recent study conducted by finance website GOBankingRates analyzed median home prices across the U.S. relative to the national median income for Millennials, defined as people ages 25 to 34, due to the Census Bureau’s data parameters. This served as the basis for determining the amount of time it would take to afford the down payment and the estimated monthly mortgage payment in every state based on a 30-year, fixed-rate mortgage. Some of the states with the biggest influx of Millennials in recent years — Oregon, Colorado and, of course, California — are among the top five worst for them to buy a home. Here’s a look at the top five least affordable states for prospective Millennial homebuyers: 5. Oregon Median list price: $375,500 Monthly mortgage payment: $2,014 4. Hawaii Median list price: $615,000 Monthly mortgage payment: $3,256 Most Affordable States for Millennials A tough issue some of the most affordable states face with Millennials is their appeal, whether real or perceived. Here’s a look at the top five most affordable states for prospective Millennial homebuyers: 5. Indiana Median list price: $180,000 Monthly mortgage payment: $1,000 4. Ohio Median list price: $169,900 Monthly mortgage payment: $948 2. Trending Now: 58% of Americans Have Less Than $1,000 in Savings

Affordable housing set for spotlight of next presidential campaign

Affordable housing is poised to become a more prominent issue in the 2020 presidential race, with several potential Democratic candidates releasing proposals on the topic in recent months. — have all introduced bills aimed at reducing housing burdens. Harris’s bill, introduced in July, would create a refundable tax credit for renters who pay more than 30 percent of their income on rent and utilities. Besides Harris, Gillibrand, Booker and Warren, other possible Democratic presidential candidates may also be poised to make housing a key plank in their campaigns. He added that he thinks the bills show that every Democratic presidential candidate will have to include addressing housing issues as part of their platform. Democratic strategists said that housing could be an issue that can help politicians in the party show they are attentive to voters’ needs. Experts on Democratic politics also said that housing is an issue of importance to parts of the party’s base, including millennials and minority voters. Booker’s office said that the senator’s bill includes safeguards against rent increases. Harris's office said that there are a number of things that need to be done to address the housing crisis, including addressing limited supply, but that the senator's bill is one thing that could be done to help. Democrats have been critical of some of the Trump administration’s housing proposals, such as proposals in the president’s budget to cut funding for Department of Housing and Urban Development (HUD) programs.

Should you buy or rent after selling your home?

In this article: Your home is on the market, and you can probably count on moving soon. Should you buy or rent after selling your home? Should you buy or rent after selling your home? How costs affect whether you buy or rent after selling If you’re planning to live in the home you buy for a decade or more, these costs remain painful. Might home price inflation be so rapid as to make the cost of moving affordable? That brings us to the next point … Know the markets When deciding whether to buy or rent after selling, you need to get a feel for two markets in the place you want to move. What’s a realistic estimate for the money you stand to make in home price appreciation while you live there? What will it cost you to rent each month? Especially if you’re careful about when you pick your start and end points, it’s easy to prove that, on average, stock markets give better returns than property ownership. The decision to buy or rent after selling does depend — on many factors.

Is the highest offer when selling a home always better?

Do you need a higher price to pay off your mortgage and other costs? Buyers can write any contingencies they want into their offers. Common ones include: Mortgage finance — If the buyers don’t get their mortgage approval, they are off the hook Home appraisal — If the home falls short according to the valuation of an independent appraiser, the deal’s dead Home inspection — If the property has significant defects, you’re done Clear title — Any issues with your title (your ownership of the property and your right to sell it) and it’s all over Home sale — If the buyer can’t sell her own place, she can walk away Of course, buyers don’t have to withdraw if a contingency is triggered. Cash vs. mortgage Clearly, your buyer won’t be able to trigger a mortgage finance contingency if she’s paying cash. Pre-approved buyers can close on a deal as long as the property meets their lender’s guidelines. As long as your property appraises for at least the selling price and has no inspection or zoning issues, your sale should close. Cost of keeping your existing home vacant If you face the possibility of moving on and leaving your existing home empty, you’re probably worried about the prospect of paying two mortgages. For unoccupied homes, the cost of maintaining coverage isn’t typically too great. But most sellers want only to accept offers that are likely to survive all the way to closing. They can’t afford to deal with buyers whose contingencies and mortgage applications pose high risks.

5 Inconvenient Truths About Real Estate Agents

Buying or selling a home is likely the biggest financial transaction you’ll ever complete. They sometimes work for both sides In some states, the same real estate agent can represent both the buyer and the seller in a transaction. Their commission is negotiable Listing agents may expect you to accept their commission — generally around 6% of the sale price — without question, but you certainly don’t have to. Most sellers never think about the fact that anyone can come through the door of an open house, Gasset said. If you view an open house and decide to make an offer, the listing agent can take credit for your interest. Don’t provide your name, sign any documentation or discuss your opinion of the house with the listing agent unless you have to, Miller says. If you really like an open house, leave and find a buyer’s agent who can help you make an offer. Consumers should interview several potential providers and make their own decision about whom to hire, Harty says. Interview multiple real estate agents. Get a real estate attorney involved.

Selling your home? Target Millennials

Data shows that by the end of 2018, Millennials are expected to account for a whopping 43 percent of new mortgages — meaning nearly half of all home sales. Verify your new rate (Oct 9th, 2018) The growing Millennial cohort According to the Porch.com Millennial Home Buying Trends Report, Millennial buyers accounted for 36 percent of home sales in the last year. Half of Millennial homes purchased in the last year were located in the suburbs. They were also more likely to be in small towns than those bought by Baby Boomers or Generation Xers. “While plenty of Millennials are attracted to places like New York and Los Angeles, many are moving to more affordable cities in the Midwest and the South,” the report reads. So-called 18-hour cities, like Columbus, Ohio and Raleigh, North Carolina, are particularly popular with Millennials, according to the report — largely because of higher housing affordability. “As more and more Millennials have children, they’re much more likely to be concerned with affordability and the quality of local school districts (as well as how close schools are to home),” the report reads. “They’re even more interested in being close to friends and family than other generations — a fact that challenges preconceptions about Millennials as the ‘Me Me Me Generation.’” And once they move in, painting, remodeling the bathroom, adding new carpet and landscaping are among Millennials’ first home improvement to-dos. Verify your new rate (Oct 9th, 2018) Get today’s mortgage rates Looking to join America’s Millennials on the home buying journey? Show Me Today's Rates (Oct 9th, 2018)

How to Invest in Real Estate: Buying vs. Not Buying Property

Investing in real estate isn't for everyone. 7 Ways to Invest in Real Estate by Buying Property For many of the methods of investing in real estate, you'll need to have money saved. Here are seven ways to invest in real estate that involve a purchase of actual property. Maintain a good house in the right area, and you may be able to make the same money off a few vacation tenants that you might make from a year-round tenant elsewhere. It is high-risk, high-reward real-estate investing. 10 Ways to Invest in Real Estate Without Buying Property If buying property is too expensive of an investment for you, it's not only way you can add real estate to your investment portfolio. Here are 10 ways you can invest in real estate without actually having to buy any property. Look beyond REITs for your real estate companies. For example, RE/MAX is a company that sells homes via real estate agents. Real estate agents require some education and training before they can actually get out there and flip houses, but successful real estate agents can take home nice commissions on the properties they sell.

Where to move for lower taxes (check out this study)

If you’re wondering where to move for lower taxes, consider that you may be paying: State and local income taxes Property taxes Sales taxes One way or another, you’re taxed at the federal, state, county and city levels. Verify your new rate (Oct 6th, 2018) Study provides clues about where to move for lower taxes A new report from Redfin shows there’s a growing trend of people moving out of high-tax markets and into lower-tax markets. “Prior to tax reform, we were already seeing migration away from expensive metros to more affordable metros. That means it’s easier for people to find a job in another city.” Ptaszynski noted that some people who migrated have the potential to save thousands a year in income, property, and state/local taxes. And they pay about eight percent in local sales taxes but no state income tax. “But in Los Angeles, they’ll pay, on average, $3,600 in property taxes, about a nine percent sales tax rate, and an eight percent income tax rate.” Moving makes sense to many Real estate attorney and Florida International University instructor Suzanne Hollander isn’t surprised that many people are researching where to move for lower taxes. So moving to a state with a lower tax rate may be smart, too,” Hollander says. That’s because it does not have a state income tax or state estate tax,” Hollander adds. “Consider the cost of housing, the overall cost of living and the job market in your next destination,” Ptaszynski suggests. Whitman says the costs to sell, buy and move from that could add up quickly.

Half of renters spend more than 30% of their income on rent

In fact, according to new data, nearly half of all U.S. renters are cost-burdened, spending more than 30 percent of their monthly income on rent. Verify your new rate (Oct 3rd, 2018) Bogged down by housing costs According to data from Apartment List, 49.5 percent of all American renters are burdened by their housing costs. That’s down slightly from last year when 49.7 percent of renters were cost-burdened. According to Chris Salvati, Apartment List’s housing economist, the change is simply a result of who’s renting, not what renting costs. “Much of this decrease in the cost burden rate is attributable to an influx of high-income households to the rental market,” Salvati said. The city has the highest cost burden rate in the country, with 62.7 percent of renter households burdened by housing costs. Other cities with high shares of cost-burdened renters include Riverside, California; Philadelphia; San Diego; Los Angeles; Boston; Orlando; New York; and Baltimore. Verify your new rate (Oct 3rd, 2018) The median renter in 20 out of the nation’s 25 largest metros is cost-burdened. “Framing the problem in this way highlights the fact that rental housing affordability affects not just low-income households, but also millions in the middle-class.” Get today’s mortgage rates Ready to get out of the rent race and get your housing costs in check? Show Me Today's Rates (Oct 3rd, 2018)

Thousands of potential homeowners wrongly think they can’t get a mortgage

Seven out of ten (70%) people think a low credit score, zero-hour contract, payday loan, new job or even parental leave would prevent them getting a mortgage, according to mortgage advice website Online Mortgage Advisor. While it is not necessarily the case that these would be automatic barriers to getting a mortgage, it can make it harder for some and those who are accepted may have to pay a higher rate of interest or borrow a smaller sum than otherwise. Pete Mugleston, managing director at Online Mortgage Advisor, says a huge number of consumers are in the dark about what would prevent them from borrowing. “We may be a long way away from the pre-credit crunch days of no income, no job or asset mortgages and free-for-all credit, but lenders do recognise that people’s circumstances have changed and as such, many have adjusted their criteria to reflect this." If people don't keep up with their mobile payments, have a contract for utilities as they pay cash or they are not on the electoral roll, they are not going to score as highly on their credit check. They are also concerned about stability such as how long you have lived at your address or been with your bank. Borrowers will be accepted for a smaller mortgage just not the amount they are looking for.” Getting a mortgage with bad credit history If you have got a bad credit rating because of past problems, it can be difficult to find a lender willing to offer you a mortgage. If you have got a poor credit history and are worried that you won’t be able to get a mortgage, all is not lost. While having a poor credit score can make getting a mortgage more difficult, there are some lenders that can help. If you have been turned down by a high street bank or building society you might want to try apply through a specialist lender.

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How I Sold My First Property Via Cryptocurrency

Cryptocurrencies: Poised to Change Real Estate? One industry that I don’t feel has been largely affected by the changes we see happening in technology is real estate. I also think that blockchain is going to play a big part in the way real estate deals are transacted. You’ve got a lot of iBuyers out there like Open Door, Offerpad, and Knock. We’ve had a lot of young investors who have made money during the crypto boom reaching out to us. But we definitely wanted to make sure we were doing the right thing because there are still no regulations on how you can close on a real estate transaction via cryptocurrency. We asked the title company how we could get the deposit in cryptocurrency—but understand, our title company is not educated on how to close via cryptocurrency. I need to do a little bit of research because if the buyer wanted to buy the property entirely in crypto, how would that work and how would the title company process the transaction? It’s amazing how the world is changing and what is happening. How do you think real estate transactions will change in the coming years?