This week there was good news on the economic front: the May 17 Thompson Reuters/University of Michigan preliminary index of consumer confidence posted the strongest gain since July 2007. In addition to this news was the Conference Board’s higher-than-forecast growth projections for the coming three to six months.
Jim O’Sullivan chief economist at High Frequency Economics in Valhalla, New York, says consumers’ gain in confidence “is testimony to underlying growth in spending power.”
The biggest winner was housing prices, which historically have represented the biggest portion of household wealth. The S&P/Case-Shiller index of home values shows housing prices in 20 markets 9.3 percent higher than a year ago.
This is good news for those selling their existing home. However, there is still good news for those looking to purchase: interest rates remain at or near all-time lows, boosting purchasing power when shopping for a new home.
Purchase Your Retirement Home
The FHA HECM for Purchase is an outstanding seniors’-only home purchase product for homebuyers aged 62 or older. Since there is never a monthly mortgage payment required, seniors have access to more of their monthly income as they move further into retirement.
If you are aged 62 or older and are looking to purchase a home, give me a call. HECM for Purchase may be the perfect way to get you into your new retirement home.
Laurie MacNaughton [NMLS# 506562] · Reverse Mortgage Consultant, President’s Club · Middleburg Mortgage, a Division of Middleburg Bank · 20937 Ashburn Road, Suite 115 ·Ashburn, Virginia 20147 · 703-477-1183 Direct · LMacNaughton@MiddleburgBank.com www.middleburgmortgage.com/lauriem
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