The Rilliet Report
THE BUZZ
Hi
Home prices are continuing to rise. According to Lawrence Yun, chief economist for the National Association of Realtors, contract signings hit a 10 year high in April. The first quarter of 2016 makes the best first quarter of existing-sales since 2007.
Mortgage rates, which have remained below 4% in 16 of the past 17 months, help home sales. Yun reports that inflation remains at only about 1 percent which also keeps rates down. Yet rent growth and rising gas prices could edge up inflation and push rates higher. Yun expects higher mortgage rates by the end of the year.
The real estate market remains strong but is spotty. Some homes are staying on the market for a longer period of time as buyers evaluate their options. Well priced homes sell faster. The presidential election cycle always seems to slow a market.
Let's talk. Buying or selling, we need to evaluate your needs and local areas.
JUST ASK
Q: What are the standard guidelines for generations?
A: The start and end dates of generations are debatable. They fade into one another, so you will see an overlap of age.
Baby Boomers: 1946-1953 to 1964.
Gen X: 1965 to 1976-1982.
Gen Y: 1977-1982 to 2001.
MY TOWN
Are you familiar with Nextdoor? Its a free private social network for your neighborhood community. It offers an easy way to connect and talk with your neighbors about what's happening in your area. From helping find your lost dog, to organizing a crime watch, to asking for a trustworthy baby sitter, to finally remembering your neighbor's name, this is a good place to start.
Nextdoor was first launched in the United States in February of 2012 and received $18.6 million in funding. It competes with Yelp, Yahoo, Facebook and Google. They say that the difference is that it increases privacy by limiting access to posts from people in the neighborhood or those nearby.
The company does not currently generate revenue but intends to earn income in a manner similar to Craigslist in the future.
You can sign up at the iPhone or Android App store. If you try it, let me know what you think.
FYI
Married couples (ages 46 - 64) are still the largest group of home buyers. According to the NAR, Baby Boomers are wealthier than any other generation. They are set to inherit $13 trillion of wealth in the next 20 years, and 70% of them believe that their current home will not be the best one that they live in. And they prefer the suburbs to city dwelling.
Yet a new trend has emerged. Following the married couple baby boomers are the single woman buyers. These women are going to keep buying bigger and better homes. The gender-pay gap is decreasing, giving women increased financial independence. They account for 60 percent more home purchases than single men.
This trend of single female home ownership is projected to increase in the coming years.
