Monday, October 15, 2012

House Payments are Lower than They've Been in 25 Years!

According to the recent analysis by Case-Shiller, home prices – in terms of actual monthly mortgage payments made by home owners – are cheaper today than they have been for more than 25 years!

Case-Shiller’s website states that in October of 2011, home prices seemed to have bottomed.  Over the last year, 16 of the 20 cities that they track showed home price increases, and ALL 20 cities tracked showed home price gains between June 2012 and July 2012! Interest rates are still low enough, however, to keep monthly payments historically low!

Interesting facts:
  • House prices peaked at the beginning of 2006
  • Current house prices are back to mid 1990’s price levels
  • With historic low mortgage rates, payments on those homes are lower than they have EVER been since Case-Shiller began tracking them in the late 1980’s