Baby Boomers in Position to Control Market’s Direction

Home | Daily Dose | Baby Boomers in Position to Control Market’s Direction

 Print This Post

Baby Boomers in Position to Control Market’s Direction

Baby boomers and other homeowners over the age of 55, which number about 67 million, control about two-thirds of the nation’s aggregate home equity, which computes to about $8 trillion.

These numbers put this group in a position to greatly influence where the housing market will go in the next decade, according to Freddie Mac Chief Economist Sean Becketti in a blog post on Wednesday.

“Whether they decide to move from their current homes or age in place, the cumulative impact of their decisions on mortgage demand, affordable housing supplies, and the housing options available to Millennials and other aspiring homeowners will be substantial,” Becketti wrote.

Freddie Mac’s survey of nearly 4,900 homeowners age 55 and over (a mix of men, women, Caucasian, African-American, and Hispanic, and Asian), revealed that the majority of baby boomers are satisfied with their current homes (about 64 percent) and that 90 percent believe people their age should own a home. Nearly everyone surveyed said homeownership makes sense for married people with children (96 percent), and a majority said it makes sense for people without children (85 percent).

About 63 percent of respondents said they prefer to age in place, which would compute to about 42 million homeowners spread out across the entire 55+ demographic. However, that still leaves approximately 40 percent of boomers (27 million) who said that if they had complete control, they would move at least one more time. According to Freddie Mac, 19 million of those boomers plan to buy a home and eight million plan to move in the next four years.

“These are big numbers with the potential to tighten homebuying competition in the housing market, especially for millennials and other first-time homebuyers,” Becketti wrote. “They also have the potential to generate significant new demand for mortgage credit. Whether the borrower is financing age-in-place renovations or buying a new house, even a relatively modest increase in lending to 55+ homeowners could add trillions of dollars in new originations in a relatively short time. One way or another, the baby boomers' housing decisions over the next few years will take our market to brand new places.”

DSNews

Thinking About Buying In Elk Grove Ca.

Millennial Are Starting To buy Their First Homes

Millennials have had a difficult time getting in position to buy their first home.  They did all the right things finished high school, went on to college, graduated only to find a not so great job market. Many had to take any job they could find and quickly realized that it wasn't enough to even live on only to move back in with their parents and just worked to survive.
Finally the tide is turning and we are seeing the millennials able to start to consider the idea of buying their own home, maybe with parents help with a down payment, but it is at least better to pay 2K toward something you will someday own than 2K toward something you will never own. So what are the next steps?

Step 1.  Talk to a good lender (preferably one you can sit down face to face with and speak to). Millennials tend to like the internet, but when it comes to home buying it is much better to work with both lender and real estate agent that are in the area you want to buy and who you build a solid relationship with.

Step 2.  Determine with the help of a good lender how much you can afford to buy and how much you will need to put down.  (Make sure your lender goes over all the programs you are eligible for and the different types of loans).  This way you will be able to decide what will work the best for you.

Step 3.  Find a good reputable Real Estate Agent.  Sit down and talk with them and find one you like and feel comfortable with, is honest, explains the home buying process with you and really listens to your needs and wants so they can find you the right home.

Step 4.  Go out and look at a few homes with your chosen realtor.  It will take looking at a few homes for your realtor to really understand what you like and don't like.  Be honest it is the only way your realtor can truly help you and get you looking at the right homes.

All of these steps are relationship building steps, this is one of the largest purchases you will probably make do not leave this one to the internet.  Even when looking at homes have your realtor put you on a program to see the homes you qualify for as quickly as they come on the market (every good realtor has a program).  Don't depend on internet programs, often times the homes they show are no longer on the market, sold, pending etc. and you waste a lot of time looking at things you could not even buy.

These are only the first few steps but if you find the right realtor they will walk you through the entire process and work with you hand in hand through the entire process.  ( Much of it is a lot of legal requirements so an honest reputable and knowledgeable realtor is essential)  Ask for referrals of past clients.

Social Media Phishing Alerts

Phishing attempts on social media have more than doubled over the past year as scammers find new ways to trick people into providing personal and financial information.

During the first quarter of 2016, ploys to glean log-in credentials, credit card and other ID-worthy information soared 150 percent over the same period in 2015, according to Proofpoint, which provides social media security services to leading companies and nearly 225 million of their individual followers on Facebook, Twitter, LinkedIn, Google+, Instagram and Pinterest.

‘Disrupt Aging’ — Read the book that is smashing stereotypes » 

The current reigning ruses:

1. Impostor customer care: Cybercrooks create fake customer service accounts, via slight keyboard tweaks (say, an extra underscore or character), to intercept messages tweeted to banks, e-commerce or video game producers and phish for log-in and financial account information. “The consumer poses a question to a support site and within minutes receives a response (from an impostor account) providing a link to a solution, which, of course, is also a fake,” notes Devin Redmond, vice president of social media security and compliance at Proofpoint. “The customer not only expects the response, he or she welcomes it and has incentive to follow the link.” If you choose to use social media customer care, be sure to look for the “verified” logo in all communications.

2. Live-stream lures: The bait is phony comments and promises of live video streams of popular events, such as a big football game or boxing match available only in certain markets or on pay-per-view. The hook? Links that lead to scammer-run websites, where there’s no sneak peek, only an attempt to get personal and credit card details, often under the guise of a fake free trial.

3. Fake freebies and discounts: Con artists set up legitimate-looking social media accounts that claim to offer free or dirt-cheap products and services. It’s easy pickings for swindlers to collect names, addresses, phone numbers, emails and other information that they can use for identity theft or to sell on the black market, along with credit cards “required” for shipping and handling charges.

4. Contest cons and survey swindles: In this oldie but goodie, fraudsters post promises of a prize for completing a survey, but the goal is to mine personal information. Crooks’ posts and links appear authentic with URL shorteners.

Discounts on financial services from trusted companies — AARP Member Advantages »

5. Gossip gotchas: Search terms of celebrity names, coupled with terms such as “video” and “picture,” have long been among the internet’s most typed — and most dangerous for malware. The latest celeb-centric scheme: links that promise illicit videos of Hollywood elite, sports superstars and other household names. Along with malware, many phish for credit card info.

For information about other scams, sign up for the Fraud Watch Network. You’ll receive free email alerts with tips and resources to help you spot and avoid identity theft and fraud, and gain access to a network of experts, law enforcement and people in your community who will keep you up to date on the latest scams in your area.

Photo: JanWillemKunnen/iStock

Sellers Happy, But Home Buyers Are Frustrated

DAILY REAL ESTATE NEWS | TUESDAY, MAY 10, 2016

The number of home buyers who say now is a good time to buy dipped to an all-time survey low in Fannie Mae’s latest Home Purchase Sentiment Index. Meanwhile, home owners who say now is a good time to sell soared to an all-time survey high.

The disconnect in the market is likely partially due to the limited number of homes for sale in many markets, allowing sellers to face less competition and ask for higher home prices. On the other hand, home buyers are having fewer choices and stuck paying higher prices, sometimes in multiple-bid situations.

Indeed, “we can partially attribute the sizable gain in April in home selling optimism both to a correction for last month’s unexpected dip and to typical seasonal strength in housing activity in the spring and summer,” says Doug Duncan, senior vice president and chief economist at Fannie Mae. “Even after accounting for these factors, continued tight housing supply has led to renewed strength in home price appreciation, making selling a home a more attractive prospect this year in particular. This improved sentiment could provide an extra boost of much-needed supply for the spring selling season.”

Some highlights from Fannie Mae’s latest Home Purchase Sentiment Index:

• 30% of Americans say now is a good time to purchase a home, a drop of 3 percentage points from the previous month and now at an all-time survey low.
• 15% of Americans say now is a good time to sell a home, now at an all-time survey high.
• More consumers think home prices will rise over the next 12 months compared to March, and slightly fewer consumers also expect mortgage rates to go up over the next year.
• The percentage of respondents who say they are not concerned with losing their job increased 6 percentage points to 74%, nearly a 7 percentage point decrease in March.
• The percentage of respondents who say their household income is significantly higher than it was 12 months ago held at 11%.

Source: Fannie Mae

Gain control of Your Money

Meet your money

Whether you want to understand your spending habits or you’re going through financial hardship, your relationship with money has a powerful influence on your everyday life. Take a closer look in order to set and attain meaningful goals.

The steps you’ll take

• Assess your financial habits with a quiz
• Identify your top values
• Reflect on your history with money
• See whether your spending aligns with your values
• Start a savings fund for something special

By the end of the program…

You’ll have a better understanding of your relationship with money, past and present. You’ll know if your spending matches up with what matters to you, and you’ll start putting money awa

https://lifereimagined.aarp.org/challenge/42005-money-and-you?cmp=EMC-MEM-051616-2QLRHR-AARPLR2016

For Sale/Sold/Pended in All Sac. County areas combined

For Sale/Sold/Pended in All Sac. County areas combined: For Sale/Sold/Pended in All Sac. County areas combined (Single Family Homes)