The 8 Biggest Concerns for REALTORS®

The affordability issue is a big one for me. I can think of a number of sellers who what to sell their existing home and purchase a bigger home or downsize to a smaller home but don't because they don't believe they can afford the next home. So they decide not to put their property on the market, which decreases the inventory, which makes prices go even higher. It's a serious problem here in the Silicon Valley and elsewhere.


Photo Source: businessfirstfamily.com


The 8 Biggest Concerns for REALTORS®

REALTORS® are "strongly confident" about the housing market's outlook over the next six months, although confidence has eased since the beginning of this spring, according to the latest REALTORS® Confidence Index, a monthly survey of nearly 3,000 REALTORS® about local market conditions.

In general, REALTORS® continued to report "strong" local market conditions last month for single-family and townhome properties. The strong confidence is being buoyed by strong job creation, the reduction in the Federal Housing Administration's annual mortgage insurance premium rates, and the acceptance of Fannie Mae and Freddie Mac's 3 percent down payment loans.

Still, REALTORS® are reporting several issues with the market. The survey revealed the following top concerns:

• The upcoming TILA-RESPA Integrated Disclosure regulations, which take effect Oct. 3, and concerns that they could delay closings. 
• Tight inventory with a limited number of homes for-sale.
• Affordability issues: Fewer affordable homes so sellers are also hesitant to move.
• Financing issues, such as difficulty in qualifying for a mortgage due to higher FICO credit and down payment standards, protracted mortgage approval process, and condo-financing issues.
• Appraisal issues: conservative estimates, "out-of-town appraisers," and slow turn-around.
• Rising interest rates.

• Declining demand from international buyers due to a strong U.S. dollar.

• Uncertainty about flood insurance rates and reform.

Source: Realtor Magazine Online
http://realtormag.realtor.org/daily-news/2015/07/27/8-biggest-concerns-for-realtors?om_rid=AAFmZk&om_mid=_BVtnZRB9D6kdQp&om_ntype=RMODaily