Despite the National Association of Realtor’s saying that the level of pending home sales has fallen 7.7% the level of home affordability is at record levels!
NAR’s Pending Home Sales Index showed that in January the index fell 7.7% to 80.6%. Its lowest level since the index was created in 2001. However the news is not necessarily negative as the data is skewed due to the waiting for the passage of the 2009 stimulus bill.
Buyers who were on the fence before, now have concrete data showing them what programs the 2009 American Recovery and Reinvestment Act have put in place for buyers. Such as the new $8,000 first time homebuyer tax credit.
However, there is also excellent news in terms of housing affordability. NAR President Charles McMillan has this to say; “Housing affordability is at a record high – the buying power of a typical family has risen significantly,” he said. “With the drop in interest rates, a median-income family can afford a home costing $20,000 more than a year ago for the same monthly mortgage payment. With the strong housing stimulus, we are hopeful inventory will get trimmed and which will help prices stabilize in many areas by the end of this year.”
This is another reason showing that now is definitely the time to buy!
If you are looking to purchase a property in New Albany, Gahanna, Blacklick, Westerville, or another Central Ohio community, please contact The Raines Group. We offer professional real estate advice and are happy to help you achieve your real estate goals. Please contact us today via our online contact form or by calling The Raines Group at 614-418-7417.