10,000+ Properties Available

Why Today’s Foreclosure Numbers Won’t Trigger a Crash With everything feeling more expensive these days, it’s natural to worry about how rising costs might impact the housing market. Many people are concerned that high prices and tighter budgets could cause more homeowners to fall behind on their mortgage payments, leading to a wave of foreclosures. But before you start worrying about a housing market crash, here’s a look at what’s really happening. And the good news is: the latest foreclosure data shows there’s no wave on the horizon. How Today’s Market Is Different from 2008 Let’s ease those fears by looking at the bigger picture. The graph below uses research from ATTOM, a property data provider, to show that the number of homeowners starting the foreclosure process is nowhere near what we saw coming out of 2008. Back then, there was a big spike in how many foreclosures were happening. Today, the number is much lower – it's even dropped some in the latest report. There’s a big difference between what’s happening now, and what happened when the housing market crashed (see graph below): Just in case you’re wondering why the number of foreclosure filings has ticked up slightly since 2020 and 2021, here’s what you need to know. During those years, there was a moratorium (shown in white) designed to help millions of homeowners avoid foreclosure in challenging times. That’s why the numbers for just a few years ago were so incredibly low. If you look further back, it’s clear overall foreclosure filings are down significantly. And if you’re wondering: how are there fewer foreclosures today, even when the cost of living has gotten so pricey? Here’s your answer. One of the main reasons is that homeowners today have a lot more equity built up in their homes than they did back in 2008. As an article from Bankrate explains: “In the years after the housing crash, millions of foreclosures flooded the housing market, depressing prices. That’s not the case now. Most homeowners have a comfortable equity cushion in their homes.”  This equity acts like a safety net and is allowing many homeowners to avoid going into foreclosure if they’re facing financial hardships. Even if someone is struggling to make their monthly payments, they may be able to sell their home and avoid foreclosure altogether. This is a far cry from the conditions during the crash when homeowners owed more on their mortgages than their homes were worth. What’s Ahead for the Housing Market It’s true that today’s higher cost of living across the board is a challenge for many people right now. But this doesn’t mean we’re heading for a surge in foreclosures. The equity cushion that people have is helping to keep foreclosure filings low. Today’s homeowners have more options to avoid going into foreclosure. Bottom Line Yes, everyday costs for gas and food have gotten more expensive—but that doesn’t mean the housing market is on the brink of another foreclosure crisis. Data shows the market is far from a foreclosure wave. Homeowners today are in a much stronger financial position than they were during the 2008 crash, thanks to significant equity. 

Read More

Are you ready for some good news, especially if you're a homeowner or considering becoming one? The Dallas Morning News recently reported that home sellers in our area scored big last year, with an average profit of $112,500. That's not just a financial windfall; it's a testament to the many benefits of owning your own home. So, what are these benefits, and why should you consider taking the plunge into home ownership? **1. Financial Gains:**   The headline figure says it all: homeowners are making substantial profits when they decide to sell. This financial gain is often seen as a reward for years of mortgage payments and property upkeep. Instead of paying rent to a landlord, you're investing in an asset that can grow in value over time. **2. Equity Building:**   When you make mortgage payments, you're not just covering the cost of living; you're also building equity in your home. Equity is the difference between your home's market value and what you owe on your mortgage. It's like a savings account that grows as your property's value appreciates. This equity can be tapped into for future financial endeavors. **3. Stability and Control:**   Owning a home provides a sense of stability and control that renting can't match. You're not at the mercy of a landlord's decisions or sudden rent increases. You have the freedom to make changes to your property, whether it's renovating, decorating, or landscaping, to create your ideal living space. **4. Tax Benefits:**   Homeownership often comes with tax advantages. Mortgage interest and property tax payments are usually deductible, reducing your overall tax liability. These deductions can add up, saving you money come tax season. **5. Community and Roots:**   Homeownership encourages a deeper connection to your community. When you know you'll be in one place for a while, you're more likely to invest in local relationships, schools, and organizations. This sense of belonging and stability can lead to a richer and more fulfilling life. **6. Long-Term Investment:**   Real estate has historically proven to be a sound long-term investment. While there can be short-term fluctuations in the housing market, over time, property values tend to appreciate. Your home can be a source of wealth for you and your family. **7. Pride of Ownership:**   There's something deeply gratifying about owning your own home. It's a place to express your personality and create memories. The pride of homeownership extends beyond financial considerations. It's about having a place to call your own. **8. Forced Savings:**   Paying a mortgage is a form of forced savings. It's money that goes towards an asset, as opposed to rent, which is essentially money spent without building wealth. When you sell your home, you can access the equity you've accumulated. In conclusion, the Dallas Morning News story is not just about dollars and cents; it's a celebration of the advantages of homeownership. While the financial gains are certainly compelling, the stability, control, and pride that come with owning your own home are equally valuable. So, if you're on the fence about homeownership, consider the many benefits it offers, both in the present and for your future.

Read More

What’s Up with Real Estate? National news and local views for the week ending Friday, October 13, 2023 National Real Estate News Home prices dip Zillow's September Home Value Index decreased 0.1% month-over-month, the first decline since February 2023. On their numbers, home prices dropped month-over-month in 32 of the 50 largest US metros. (Prices in Austin and New Orleans both dropped a big 1.4% MoM.) Are much higher mortgage rates going to hit demand enough to cause a 'double dip' in home prices this winter? Core inflation trends down The headline Consumer Price Index (CPI = inflation for you and me) was flat in September at +3.7% year-over-year. But the "core" CPI (which excludes volatile food and fuel prices) dropped to +4.1% year-over-year. The rate of inflation we're experiencing today is MUCH lower than it was in mid-2022 (see graph), but it's still a good deal higher than the Fed's 2% target. Finally, some rate relief September was ugly for the bond market and mortgage rates, with new highs hit almost every week. On October 6, the average 30-yr mortgage rate hit 7.81%, levels not seen since 2000. The good news is that rates have eased off recently, mainly thanks to public comments from various Federal Reserve officials suggesting that they've already done enough to tame inflation. Local Market Trends As of Friday, October 13, 2023 Area Median Price Active Listings New Listings - 5 days Median Days on Market 76085 $578,924 74 4 17 76086 $322,000 79 7 17 76087 $567,394 216 10 73 76088 $575,000 114 12 75

Read More