Housing 2024 - What's in store for housing's next generation

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Th e M Rep o RT | 35 O r i g i nat i O n s e r v i c i n g a na ly t i c s s e c O n da r y m a r k e t ORIGINATION LocaL Edition typically occur 30 to 90 days after contracts are written. Townhouse and condominium sales were also up annually, rising 2 percent to 8,622. Based on data collected in part- nership with local Realtor associa- tions, Florida Realtors reported the statewide median sales price for single-family existing homes in September was $180,000, up 5.9 percent from the previous year. The median price for townhouse- condo properties was $142,700, up 9.8 percent annually. September marked the 34th straight month in which sales prices rose for both single-family and townhouse- condo properties. Florida Realtors' president, Sherri Meadows, said the continual rise in prices is a mixed development. "When home prices increase, more Florida homeowners may be ready to list their homes for sale," Meadows said. "So on the one hand, it is a positive factor for im- proving housing inventory in many markets; but on the other hand, rising prices can also make it more challenging for first-time buyers to enter the market, or even for move- up buyers to find their next home, especially with lending standards remaining too restrictive." Based on September's sales rate, the group estimates single-family inventory in the state was at 5.4 months and at 5.8 months for townhouses and condos. While inventory remains close to what the association considers to be a balanced market for buy- ers and sellers, most of the new listings coming to market are out of the price range of first-time and moderate-income homebuyers. "We are seeing continued pressure on the lower end of the market where listings have not increased, and there is more activ- ity at the luxury end of the price spectrum," said Dr. John Tuccillo, chief economist for Florida Realtors. "The good news is that investors appear far less interested in the lower end of the market, opening up opportunities for po- tential owner-occupants. Investors and foreign buyers, however, are still very active in the market for townhouses and condos." survey: student loans a 'key Obstacle' to Homeownership One in fOur AmericAns hAs seen student debt deter An Aspiring hOmeOwner. WASHINGTON D.C. // A recent survey commissioned by NeighborWorks America, a Washington, D.C.-based non- profit community development corporation, revealed nearly one out of four Americans knows someone who has delayed buy- ing a home because of student loan debt. NeighborWorks' second an- nual America at Home Survey showed that student loan debt and perceived over-tightness of lending has prevented or delayed homeownership despite the fact that 60 percent of American adults surveyed said owning a home was either "the most important" or a "very important" part of the American Dream. "Earning a post-secondary degree is increasingly criti- cal in the United States, but student debt is preventing some Americans from purchasing a home and fully fulfilling this 'American Dream' aspiration," said Chuck Wehrwein, act- ing CEO of NeighborWorks America. "If we don't mitigate the effect student loan burden is having and will have for years to come on homeownership, the country will lose a significant amount of economic activity and hundreds of thousands of people will be unable to benefit from the stability and financial value that homeownership has been proven to offer." Forty-nine percent of those who had student loan debt said the debt was an obstacle to their purchase of a home. Student loan debt was the single largest obstacle to homebuying among those who have debt. Lack of a down payment was the second largest obstacle. The survey revealed that of those with student loan debt, 20 percent are more likely to say their opinion of homeownership has changed for the worse over the past five years. It was also revealed that women make up 58 percent of those with student loan debt, while African- Americans and Hispanics—who make up just 20 percent of the U.S. population—account for 29 percent of student loan debt nationwide. Housing counseling and education is an option to reduce risk for borrowers who are un- able to purchase a home because student loan debt makes their debt-to-income ratio too high for loan approval. According to the survey, 25 percent of consum- ers with student loan debt said they would consider housing counseling, while only 13 percent of consumers without debt said they would. "The earnings potential for college graduates increases over time," Wehrwein said. "By pru- dently investing in these gradu- ates and counseling those who aspire to homeownership, more Americans can put down stronger community roots and become a larger part of our economy."

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