Excerpt from Dr. Steve Sjuggerud’s “Daily Wealth” web site. Full article Here.
By Dr. Steve Sjuggerud
Friday, January 28, 2011
“‘Affordability’ takes three factors into account: home prices, your income, and mortgage rates. Home prices have crashed. And mortgage rates are at record lows. But incomes (nationwide) haven’t fallen nearly as much… So homes are now more affordable than ever. “Most people” out there will only tell you the bad news about housing… That’s the way it goes in a bear market. People drive looking in the rearview mirror.
Meanwhile, we have some darn compelling facts out there…
Home prices have fallen by a third… and mortgage rates are the lowest in history. Therefore, U.S. homes are more affordable than they’ve ever been…Based on these facts alone, now may be one of the best times in American history – even the very best time – to buy a house.”