There's been more good news recently from national leadership regarding the current and future state of American real estate, though there are also words of caution moving forward and changes that need to be made.
First the good news! The National Association of REALTORS® (NAR) reported recently that existing home sales for the month of March rose more than 6 percent, the sixth consecutive month that year over year home sales have risen from 2014.
NAR leadership asserts that the main reasons for this are the core fundamentals of an improving economy, including job creation and "amazingly low" mortgage rates, as well as a delayed reaction from the bitterly cold winter months.
Adding to the good news, the national Association reports that more than 1 million people who lost their properties during the recession have now become homeowners again, while 1.5 million more are expected to do so within the next five years.
While this is all good news, there is still work to be done nationally, and we're keeping a close eye on these developments here in coastal Delaware. One issue at the forefront is lending requirements that still keep homeownership out of reach for many credit worthy applicants.
NAR leadership believes, and we concur, that the right balance needs to be struck between regulation and opportunity so that these households can also realize the American dream of homeownership.
One idea floated about by NAR includes adding utility and rent payments to credit scoring criteria so that young and minority households can more easily establish a solid track record of long-time payments, with the ultimate goal of qualifying for a mortgage loan.
With the warm weather season now upon us, more people are going to be looking for new homes. In our opinion, this is a perfect time to make some of these important changes.
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