This Month in Real Estate for November 2011 has been released!
The numbers from October, presented by Jay Papasan, showed the home sales at an annual pace of 4.9 million, down slightly from last month, but much better than September’s numbers. Median home price was $165,000, which is another drop from This Month in Real Estate October 2011. Interest rates rose very slightly to an average of 4.1% for a 30 year fixed mortgage.
The Top Story asks the question, “What are first time homebuyers looking for?” According to KW research, much of it is to stay in the same area as they were renting. 3/4 of first time homebuyers bought a single family home, and most purchased a three bedroom, two bath home.
Of course, this data is nationwide, and the Baltimore real estate market is different than any other. Many areas of the country do not have the dense, highly populated areas with rowhomes such as Downtown Baltimore in Federal Hill, Fells Point, Canton, and Locust Point. Even Baltimore County has many townhouse neighborhoods, such as Mays Chapel in Timonium, Rodgers Forge, and areas of White Marsh and Perry Hall.
In News You Can Use, Bryon Ellington discusses three things you should know about buying versus renting.
1) Equity. You can build wealth through equity. He aligns it with a long term savings account. Every month that you pay your mortgage, a portion of the mortgage goes into that “account” (your principle).
2) Appreciation. If the market where you buy appreciates, then that equity becomes even larger.
3) Make it your own. You can renovate, paint, do whatever you’d like to it!
He also points out that when you pay rent, you are still paying a mortgage. It is just someone else’s mortgage, and you don’t get the benefits of ownership.
For more information about buying a home in Baltimore, please contact me. I would be happy to help!
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