Housing – What You Need to Know for 2012

Here is some great information about the housing market in 2011 and what it mean for you
in 2012 if you are looking at buying or selling a home.Historic Appreciation is 4% Nationally, but was -4% in 2011 * We were 24% currently below the trend line
Current Rate of Depreciation is NOT Sustainable
Gary Keller – “If you go above or below the trend line, there WILL be a correction.”

This is THE Moment in History that rates are at their lowest
NY Times called 2009 the “Golden Age” at 5%…Now as low as 3.87%!
The rates could maybe drop only 1%, if lenders eliminated all profit. Odds of that happening?
If money is a driver of when you buy…
Affordability Index – percent of income needed to pay mortgage
Homes have never been more AFFORDABLE in history of recorded time.
“Why should I buy when prices are down 30%?” Think Price vs Value.
Timing & Patience separates Investors from Speculators

Have Perspective. Study History. * Average Home Prices are +77%
Average Monthly Payments are +1%

If you have any questions or would like to see specific data for your particular market,
please let me know and I would be happy to help!

Kyle Pfaffe, REALTOR®
Keller Williams Realty
m: 512-636-9707
e: KylePfaffe@KW.com
w: AustinHomes4You.com

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