More on the Financial Front

Some Statistics from the California Association of Realtors

What Will happen when Mortgage Rates Increase?

For Example: With a Downpayment of 20% and the Median Price home of $550,990.

Monthly Mortgage cost at 3% = $1858, with a Minimum Qualifying Income of $99,681.

Monthly Mortgage cost at 5% = $2366, with a Minimum Qualifying Income of $119,996.

Southern California: Peak vs. Current Price for Medium Price of Detached Homes:

Statistics are broken down by region and So CA.

For Example: Prices peaked in Los Angeles Region Sept 2007 at $625,812. In November of 2017, the Median price was $538,870 = down 15.2% from the peak in Sept 2007.

The California Housing Market Outlook:

2017-Median Price Home = $538,500.

2018-Median Price Home = $561,000 (without tax reform)

2018-Median Price Home = $555,600 (with tax reform)

30-Yr Fixed Rate Mortgage in 2017 = 4%, 2018 = 4.3% (with or without tax reform)