Nationwide housing affordability during the first quarter of 2011 rose to its highest level in the more than 20 years it has been measured, according to National Association of Home Builders/Wells Fargo Housing Opportunity Index (HOI) data released recently.
The HOI indicated that 74.6 percent of all new and existing homes sold in the first quarter of 2011 were affordable to families earning the national median income of $64,400. This eclipsed the previous high of 73.9 percent set during the fourth quarter of 2010 and marked the ninth consecutive quarter that the index has been above 70 percent. Until 2009, the HOI rarely topped 65 percent and never reached 70 percent.
Wells Fargo? One of the biggest culprits of the foreclosure crisis. Housing may be more affordable. The new figures I just read, home sales are down for the first quarter of 2011. Construction index is 16. (from 1-100). 16 is not good. Home prices at least in our area continue to decline. Wages have declined. Home Inspector’s on this forum are even complaining about price decline in the value of services. The City of Milwaukee has hundred’s of foreclosed property’s. The City is selling some homes acquired to satisfy tax debt, for a dollar, with forgivable $30,000 loan’s for qualified buyers to get the houses un-boarded and occupied.
Durable good orders figure for first quarter of 2011 are down. A positive, the stock market gained forty points for first quarter.
Gasoline prices have greatly effected how people are buying food, shopping, traveling to the weekend cottage, etc.
The trend sure seems to be downward pressure on pricing. The few billionaires around the world do not have enough! Like pigs in a trough! They need more tax breaks. The average American’s can continue to pay the way.
The stock market is a farce, IMHO it isn’t worth a penny over 8500. When the Fed stops pumping it up with billions of our tax dollars it take a long walk off a short pier.