Latest news with #NationalAssociationofREALTORS
Yahoo
27-05-2025
- Business
- Yahoo
10 Cities Where Renters Can Finally Afford To Buy a Home in 2025
Owning a home is a key component of the American Dream. Homeownership allows Americans to create stability and, arguably, build wealth. Unfortunately, many renters currently face challenges getting into a house. Rising prices and stubbornly high interest rates have made buying a house more expensive for most. Compounding the problem is a reduced inventory of available houses, leaving fewer homes for prospective buyers to consider. Although inventory is growing, it's still lagging in much of the country, according to the National Association of REALTORS. Learn More: Find Out: Finding the right city in which to buy a house is essential for many renters. A recent study from Rocket Moving highlights the top cities for renters to purchase a home. The study looks at the average home price, median down payment, 15-year mortgage rate, homeownership rate and mortgage approval rate to identify the top ten cities where renters can afford to buy a house. Average home price: $226,800 Median down payment: $26,500 15-year mortgage rate: 4.84% Homeownership rate: 71.8% Mortgage approval rate: 68.7% Composite score: 99.4 Average home price: $346,700 Median down payment: $38,500 15-year mortgage rate: 5% Homeownership rate: 74% Mortgage approval rate: 65.8% Composite score: 96.9 Read Next: Average home price: $245,500 Median down payment: $17,500 15-year mortgage rate: 4.94% Homeownership rate: 73.3% Mortgage approval rate: 60.9% Composite score: 92.6 Average home price: $168,200 Median down payment: $6,600 15-year mortgage rate: 5% Homeownership rate: 77% Mortgage approval rate: 54% Composite score: 89.4 Average home price: $301,800 Median down payment: $24,400 15-year mortgage rate: 4.99% Homeownership rate: 73% Mortgage approval rate: 53.4% Composite score: 88.0 Average home price: $268,600 Median down payment: $24,500 15-year mortgage rate: 4.96% Homeownership rate: 65.7% Mortgage approval rate: 68.8% Composite score: 86.0 Average home price: $228,300 Median down payment: $8,800 15-year mortgage rate: 4.91% Homeownership rate: 73.8% Mortgage approval rate: 53.5% Composite score: 83.1 Average home price: $271,900 Median down payment: $25,400 15-year mortgage rate: 4.86% Homeownership rate: 71% Mortgage approval rate: 61.4% Composite score: 82.9 Average home price: $249,900 Median down payment: $23,200 15-year mortgage rate: 4.86% Homeownership rate: 74.1% Mortgage approval rate: 61.3% Composite score: 81.8 Average home price: $252,400 Median down payment: $17,800 15-year mortgage rate: 4.9% Homeownership rate: 68.7% Mortgage approval rate: 60% Composite score: 80.7 Transitioning from renting to buying a house is challenging in the current economy, but it is achievable. 'A lot of renters assume buying a home is out of reach, but that depends entirely on where you're looking,' said Christopher Vardanyan, CEO at Rocket Moving. 'In some cities, the difference between renting and owning comes down to a few thousand dollars and slightly better loan odds. That's a much shorter leap than people think, especially when you compare it to cities where both the down payment and mortgage approval chances are working against you.' With planning and an opportunistic eye, buying a house is possible. More From GOBankingRates Here's the Minimum Salary Required To Be Considered Upper Class in 2025 This article originally appeared on 10 Cities Where Renters Can Finally Afford To Buy a Home in 2025
Forbes
01-04-2025
- Business
- Forbes
5 Top Home-Related Scams To Avoid On April Fools' Day — And Year-Round
San Diego is one of the nation's top home solar markets and scams abound in the industry! 'Scan your favorite newspapers or news websites this April 1, and chances are you'll see some headlines that look suspicious. Read further, and you'll probably find that some of those stories are complete hoaxes. After all, it's April Fools' Day,' comments the Library of Commerce Magazine on its blog. While the post dates the annual observance of trickery to Renaissance Europe, today's hoaxes often use modern technology and mind games. And too often, the very unfunny outcomes harm homeowners, homebuyers and home sellers. Here are five of the latest home-home related scams. Criminals are impersonating property owners to illegally sell their property. Typically, they're choosing properties that are unoccupied and potentially even undeveloped land. This means, it can be months or years before the crime is detected. That could occur at a painful or traumatic time for the seller, perhaps due to a job loss or family death. According to Matt Troiani, National Association of REALTORS Senior Counsel and Director of Legal Affairs, 'The scammers may be getting more sophisticated in using technology, including AI, to identify properties to fraudulently sell and to impersonate sellers.' Tips: NAR has a tip sheet on its website for spotting red flags and recommended practices. Red flags include property significantly below market rate, cash requirements, no for sale sign at the property, among others. Tips include requesting proof of ownership, verifying the seller's identity and contact information, using a notary at closing, among others. 'One of the more common scams we hear about involves storm-chasing,' shares Angi Hicks, co-founder of home service platform Angi, (formerly Angie's List). After a major storm, these individuals go door-to-door offering to inspect your roof and make repairs. They often request a sizable deposit upfront — or even full payment — then either do subpar work or vanish entirely.' When I lived in Florida, locals called these scam artists, 'Chuck in a truck,' because they would cruise through hurricane-ravaged areas offering quick repairs. This can also happen with other natural disasters. Team Rubicon, a veteran-founded emergency support nonprofit, reports that scammers are already showing up at fire-scourged homesites in the Los Angeles area. Tips: Hicks suggests researching any contractor you choose to have work on your home, checking their credentials and licensing. Ask friends and neighbors for referrals. Review contracts carefully and never pay in full upfront. Get everything in writing! California's Department of Insurance has a robust web page of additional tips, resources and a hotline for wildfire-impacted homeowners. Hicks cites this as the costliest home repair scam she's encountered. Here's how it works, she explains: 'A contractor might approach you offering an incredible deal in exchange for using your home as a showroom for potential clients. It sounds like a win-win—but it rarely is. They rush through renovations, often cutting corners in ways that aren't immediately obvious. Everything may look great at first glance, but beneath the surface it's a different story. Bathrooms might have incorrectly installed ventilation, which can cause mold, improperly sloped shower drains allow for standing water, and tile jobs that crumble months later.' Tips: 'If a deal seems too good to be true, it probably is,' Hicks comments. 'Always vet your contractor thoroughly — check licenses, read reviews, and ask for recent referrals. And don't be afraid to ask detailed questions throughout the project. A legitimate pro will be happy to walk you through the process.' 'A fairly new and dangerous threat has arisen for homeowners who have fallen behind on their mortgage payments and may be at risk of foreclosure – opportunistic companies,' writes the Federal Deposit Insurance Corporation on its Consumer Resource Center site. 'They often refer to themselves as a 'foreclosure consultant' or 'mortgage consultant,' and market themselves as a 'foreclosure service', 'foreclosure rescue agency' or 'loan modification company.' They count on homeowners being vulnerable and desperate,' the FDIC warns. They say they can help a homeowner keep their home, refinance or modify a mortgage, repair their credit or postpone foreclosure. 'In reality, these 'options' are intended to convince you to take the wrong steps so they can take your money and possibly your home.' These strategies come in different packages and can come victims' way by phone or email. They charge outrageous fees, make unfulfillable promises and offer services someone can easily do themselves for free. 'In the end, you are worse off than before, because you have little or no time to save your home, or seek other assistance,' it advises. Tips: The FDIC offers multiple warning signs of a mortgage scam, including upfront fee demand, unsolicited offers, suggestions to stop making mortgage payments and end contact with your lender, instructions to transfer ownership and others. 'Solar energy is rising in popularity. So are the scams,' warns the Federal Trade Commission in an online Consumer Alert. 'Did a salesperson knock on your door and promise free rooftop solar panels at no cost to you? Or say you'll never have to pay another electricity bill because government programs, grants, or rebates cover your solar installation? It's likely a scam. While there are some government-funded solar programs for households that qualify, 'going solar' isn't free. Honest businesses will tell you exactly how much it'll cost to get and install solar panels.' San Diego-based energy consultant Rebecca Ely is seeing scams like these in her top residential solar market. Echoing the FTC, she reports that homeowners are being told that they can get solar for free from the government. (I see these ads all of the time on social media. Do you?) It's not true, she declares. 'There are programs where you pay nothing out of pocket and you do not have a loan against you, otherwise known as a Power Purchase Agreement, or 'PPA.' similar to a lease with a better buyout option.' This is essentially renting the equipment, which the solar provider maintains and owns. 'The homeowner simply pays a lower rate for power, a fixed monthly bill,' she notes. The provider keeps the tax benefits and, in many cases, charges the homeowner an annual escalator, (i.e., rent increase). 'So no, it is not free and the government is not paying for these systems,' Ely comments. In many PPAs, the homeowner is paying more over a long lease than they would if they'd paid cash for the panels. Sometimes, she says, solar consultants undersize systems to make a quote look appealing, but the homeowner ends up underserved and unhappy down the road. A related solar scam the energy consultant cites is solar consultants claiming they work directly with the local power company. 'We are two entirely separate entities. I often hear, 'I went solar with SDG&E' [San Diego Gas & Electric]. No one went solar with SGD&E,' she confirms. Tips: 'A homeowner needs to consider more than price,' Ely cautions: Ask 'What does that price include?' It is extremely important to check reviews and have a trustworthy, experienced consultant review everything closely.' She also suggests working with an independent, unbiased and experienced broker. 'You want someone who will warn you of all and any potential cons.' Millions of Americans are scammed each year. When it comes to your home — or a home you're considering purchasing — a scam can be devastating and, in the case of shoddy repairs or remodels, dangerous. Buyer beware today and year-round! ***Interviews were conducted by email between March 31 and April 1, 2025.
Yahoo
29-03-2025
- Business
- Yahoo
How to figure out the cost of your housing and budget without extending yourself
It's hardly a secret that home prices are soaring on a national scale. In February, the median existing-home sale price rose 3.8% to $398,400 on an annual basis, according to the National Association of REALTORS. Despite mortgage rates being elevated, consumers are continuing to purchase homes. And a limited inventory on a national scale is helping to keep housing prices up. I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) Americans with upside-down car loans owe more money than ever before — and drivers can't keep up. Here are 3 ways to cut your monthly costs ASAP For this reason, it's important to make sure you're not getting in over your head as far as a home purchase goes. And you may be inclined to follow the general guidance of keeping your housing costs to 30% of your gross income. But that formula may have some flaws. And you may want to tweak it to avoid taking on too much house yourself. Home buyers are commonly advised to keep their housing costs to 30% of their gross income or less. For renters, that means rent alone should not exceed 30% of gross pay. For homeowners, that 30% should include not just a mortgage, but also, property taxes, insurance, HOA fees, and any other fixed monthly expense related to being a property owner. But there are two problems with the 30% rule. The first is that based on home prices today, the typical U.S. wage-earner either can't afford a home, or can't manage to keep their costs to 30% of their pay or less. The Bureau of Labor Statistics puts median weekly earnings at $1,192 in the fourth quarter of 2024. That amounts to about $61,984 per year (assuming 52 weeks of work), or roughly $5,165 per month. Meanwhile, the average 30-year mortgage rate today is 6.67%, reports Freddie Mac. If we take the median U.S. home price of $398,400 and apply a 20% down payment along with a 6.67% rate on a 30-year mortgage, we get a monthly mortgage payment of $2,050 for principal and interest. But with a median monthly income of $5,165, that mortgage payment alone takes up almost 40%. And that doesn't even include other homeowner expenses like property taxes. So it's clear that the 30% rule doesn't work based on median wages and home prices today. The other issue is that calculating housing costs as a percentage of gross pay does home buyers a disservice. The reality is that everyone is responsible for paying taxes, which whittles down paychecks automatically. Workers also need to carve out room in their paychecks for non-housing expenses, as well as long-term goals like retirement savings. So a more prudent approach to home buying may be to limit housing expenses to 30% of net pay, not gross pay. Read more: Are you rich enough to join the top 1%? Here's the net worth you need to rank among America's wealthiest — plus 2 ways to build that first-class portfolio You can use the 30% rule -- either gross or net pay -- to budget for your housing expenses if that works for you. But it's also important to consider your individual circumstances. In some cases, it may be okay to exceed the 30% mark on housing if your remaining expenses are very low. For example, people who live in cities often don't need a car and have very low transportation costs. AAA puts the average cost of owning a vehicle at $1,024.71 per month. If you don't have a vehicle and walk almost everywhere, you may be okay to spend more than 30% of your pay on housing. On the other hand, let's say you have young kids. puts the average cost of daycare at $343 per week for an infant and $315 per week for a toddler. Even if you only have a single toddler needing full-time care while you work, that could be costing you $1,260 per month. And you could be spending much more if you have multiple children in daycare. So that would be a reason to keep your housing costs to well under 30% of your pay. Another reason to keep your housing costs lower than 30% of your pay is if you have expensive debt you're looking to shed. Experian reports that the average credit card balance among U.S. consumers hit $6,730 during the third quarter of 2024. If you have a balance that's much higher, though, it's likely monopolizing a lot of your income, leaving you with less money to spend on a home. It's also important to think about your financial priorities. If putting your kids through college is a big goal of yours, then you may want to spend less on housing so you're able to contribute consistently to an education fund. And if you know your job won't be providing a pension, there's more pressure on you to contribute generously to your IRA or 401(k) plan. Plus, there may be things you want to do with your time that cost money, like travel. The less you spend on housing, the more room you have for that. For this reason, it's important to establish a household budget that addresses your needs and priorities, and then see how housing fits in. If you use the 50/30/20 rule for budgeting, it means you're allocating 50% of your income to needs, 30% to wants, and 20% for savings. But that means you may not have enough room to allocate 30% of your income to housing alone. All told, the 30% rule for housing costs is a good starting point to work with. But think about how well it fits into your budget and plans before following it. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Protect your retirement savings with these 5 essential money moves — most of which you can complete in just minutes This article provides information only and should not be construed as advice. It is provided without warranty of any kind.
Yahoo
29-03-2025
- Business
- Yahoo
How to figure out the cost of your housing and budget without extending yourself
It's hardly a secret that home prices are soaring on a national scale. In February, the median existing-home sale price rose 3.8% to $398,400 on an annual basis, according to the National Association of REALTORS. Despite mortgage rates being elevated, consumers are continuing to purchase homes. And a limited inventory on a national scale is helping to keep housing prices up. I'm 49 years old and have nothing saved for retirement — what should I do? Don't panic. Here are 5 of the easiest ways you can catch up (and fast) Nervous about the stock market in 2025? Find out how you can access this $1B private real estate fund (with as little as $10) Americans with upside-down car loans owe more money than ever before — and drivers can't keep up. Here are 3 ways to cut your monthly costs ASAP For this reason, it's important to make sure you're not getting in over your head as far as a home purchase goes. And you may be inclined to follow the general guidance of keeping your housing costs to 30% of your gross income. But that formula may have some flaws. And you may want to tweak it to avoid taking on too much house yourself. Home buyers are commonly advised to keep their housing costs to 30% of their gross income or less. For renters, that means rent alone should not exceed 30% of gross pay. For homeowners, that 30% should include not just a mortgage, but also, property taxes, insurance, HOA fees, and any other fixed monthly expense related to being a property owner. But there are two problems with the 30% rule. The first is that based on home prices today, the typical U.S. wage-earner either can't afford a home, or can't manage to keep their costs to 30% of their pay or less. The Bureau of Labor Statistics puts median weekly earnings at $1,192 in the fourth quarter of 2024. That amounts to about $61,984 per year (assuming 52 weeks of work), or roughly $5,165 per month. Meanwhile, the average 30-year mortgage rate today is 6.67%, reports Freddie Mac. If we take the median U.S. home price of $398,400 and apply a 20% down payment along with a 6.67% rate on a 30-year mortgage, we get a monthly mortgage payment of $2,050 for principal and interest. But with a median monthly income of $5,165, that mortgage payment alone takes up almost 40%. And that doesn't even include other homeowner expenses like property taxes. So it's clear that the 30% rule doesn't work based on median wages and home prices today. The other issue is that calculating housing costs as a percentage of gross pay does home buyers a disservice. The reality is that everyone is responsible for paying taxes, which whittles down paychecks automatically. Workers also need to carve out room in their paychecks for non-housing expenses, as well as long-term goals like retirement savings. So a more prudent approach to home buying may be to limit housing expenses to 30% of net pay, not gross pay. Read more: Are you rich enough to join the top 1%? Here's the net worth you need to rank among America's wealthiest — plus 2 ways to build that first-class portfolio You can use the 30% rule -- either gross or net pay -- to budget for your housing expenses if that works for you. But it's also important to consider your individual circumstances. In some cases, it may be okay to exceed the 30% mark on housing if your remaining expenses are very low. For example, people who live in cities often don't need a car and have very low transportation costs. AAA puts the average cost of owning a vehicle at $1,024.71 per month. If you don't have a vehicle and walk almost everywhere, you may be okay to spend more than 30% of your pay on housing. On the other hand, let's say you have young kids. puts the average cost of daycare at $343 per week for an infant and $315 per week for a toddler. Even if you only have a single toddler needing full-time care while you work, that could be costing you $1,260 per month. And you could be spending much more if you have multiple children in daycare. So that would be a reason to keep your housing costs to well under 30% of your pay. Another reason to keep your housing costs lower than 30% of your pay is if you have expensive debt you're looking to shed. Experian reports that the average credit card balance among U.S. consumers hit $6,730 during the third quarter of 2024. If you have a balance that's much higher, though, it's likely monopolizing a lot of your income, leaving you with less money to spend on a home. It's also important to think about your financial priorities. If putting your kids through college is a big goal of yours, then you may want to spend less on housing so you're able to contribute consistently to an education fund. And if you know your job won't be providing a pension, there's more pressure on you to contribute generously to your IRA or 401(k) plan. Plus, there may be things you want to do with your time that cost money, like travel. The less you spend on housing, the more room you have for that. For this reason, it's important to establish a household budget that addresses your needs and priorities, and then see how housing fits in. If you use the 50/30/20 rule for budgeting, it means you're allocating 50% of your income to needs, 30% to wants, and 20% for savings. But that means you may not have enough room to allocate 30% of your income to housing alone. All told, the 30% rule for housing costs is a good starting point to work with. But think about how well it fits into your budget and plans before following it. Want an extra $1,300,000 when you retire? Dave Ramsey says this 7-step plan 'works every single time' to kill debt, get rich in America — and that 'anyone' can do it Rich, young Americans are ditching the stormy stock market — here are the alternative assets they're banking on instead Protect your retirement savings with these 5 essential money moves — most of which you can complete in just minutes This article provides information only and should not be construed as advice. It is provided without warranty of any kind. Sign in to access your portfolio
Yahoo
12-03-2025
- Business
- Yahoo
Beckley broker discusses real estate bill
BECKLEY, WV (WVNS) — Senate Bill 3145 would require homebuyers to sign a buyer's agreement with any real estate agent before the agent takes the homebuyer to see a property. The agreement would lock the buyer into a time period of working exclusively with the real estate broker who holds the contract, and it would set up a payment agreement and confidentiality between the homebuyer and their agent. The National Association of REALTORS already requires members in West Virginia to have their buyers sign the agreement, which typically lays out the responsibility of the homebuyer to compensate the agent a percentage of the sales price, if the home seller does not agree to pay both the selling agent's and buying agent's commission. The agreement may also lay out an hourly rate the homebuyer will pay the agent and set a time period for the exclusive agent/buyer relationship. Previously, home buyers did not enter contracts to view homes, but NAR passed the policy as part of a lawsuit settlement. A REALTOR is an agent who belongs to NAR, but real estate salespersons in the state who do not belong to the organization are not bound by the NAR policy. WVDOH crews gearing up to repair slip along Prosperity Road A non-NAR real estate agent may decide to have a homebuyer sign a 'buyer's agreement' but may also show houses to a buyer without requiring a commitment. Supporters say the bill is better for consumers, because it lays out confidentiality and payment agreements between agent and buyer. David Chinn, a broker with Altruist Realty in Beckley, said on Tuesday, March 11, 2025, that he does not support the bill. 'It's not fair to the consumer to have to sign a buyer's agreement to go look at a house, and that's why we are against it, because they're trying to make it look like a consumer advantage, but it's definitely not,' said Chinn. Blood Worm Moon: Total Lunar Eclipse set to delight two Virginia's Thursday Night He said that under such contracts, an agent could 'snare' a homebuyer for a period of six months and that the homebuyer could not leave the brokerage if she was unhappy. Chinn said it is ideal for a seller to pay commission for both the selling and buying agent, so that the home sells more quickly and the homebuyer does not have an extra cost. Copyright 2025 Nexstar Media, Inc. All rights reserved. This material may not be published, broadcast, rewritten, or redistributed.
