What's in Store for the Housing Market in 2012?

Reader Comments
Back to article

Cant agree more. I live in West Coast FL. Looking at rental vs buying with a standard 20 percent down mortgage there is no difference. Ok so they say the tax advantage. My question is how do you make money by paying the bank interest, the state property tax, maintenance and a 6 percent commission at time of sale. My theory tax deducations don't equal homw equity profits. The issue too is a more mobile society with home ownership at 5 yrs not 30 like our parents.

Brian of FL 8:47AM February 28, 2012

HEY.....Rico("Rich")....WHAT are you talking about?!! You refer to the "banks and their idiot republican allies try to kill the economy to get power"...who has been on the clock for over the past 3 years and most of them with a "donkey" run house and senate??? Wake up!!!...the one's in charge are the one's bailing out the banks. Who do you think runs the economy or wrote the "Dodd/Frank" BS that will further cripple our recovery and prosperity for years to come????....Wake up "donkey boy"!! To the mass....vote for whatever Republican wins! I don't know about you,...but this whole "Time For A Change" wasn't the change I was looking for!

Mortgage "BROKE"-er of AZ 11:45AM January 05, 2012

Sorry to burst everyones bubble, but the bottom of the housing market will be after the rates rise then stop at the point of which they will not rise further. The difference between 1 point on a $100,000 loan is a hundred bucks to your payment. And on a $400,000 loan that would be a extra $400 bucks, just because the rate went up 1 point. And if rates go up to 9% from 5% on a $400,000 loan that would increase your payment by $1,600. a month. Unless we all get significant raises at work, then the housing market will have to go down even more in order for people to be able to afford to buy them. We would be lucky if the rates stopped going up once it hit 9%. In the early 1980's rates were at 13% . You will not find the bottom of the housing market with historically low rates. Part of the bubble is the rates. interest rates and housing prices usually have an inverse relationship. interest rate=risk+economic return+real interest rate. for interest rates to be this low, one of those factors is negative. and i would suspect that right now the bankers don't know who will actually be employed six months from now. that dries up credit for the creditworthy. lowering the interest rate created this bubble.

naph of WA 10:39PM December 24, 2011

As long as the banks and their idiot republican allies try to kill the economy to get power, the economy and housing prices will continue to plummet. Wake up people!

Rico of CA 11:47PM December 21, 2011

Want to refinance your mortgage to a new lower interest rate? You should - the money you save could be so significant even with 1 or 2% reducation check 123 Refinance and learn how refinance can affect you.

manuelcox of TX 1:04AM December 21, 2011