American - Economist | -
Potential home buyers have a two-step decision process. First, they determine whether they can afford to make a purchase - does their income safely cover their mortgage payment? Then they determine whether owning is a better financial choice than renting - are the costs of owning a home lower than the cost of renting it?
Mark Zandi
HomeDecisionPotentialBetterFirst
Investor demand for distressed property has been healthy, as rents rise to levels that can cover investors' costs while they wait for properties to appreciate. Giving investors a small tax break should further juice up demand, supporting prices for distressed homes and the market in general.
WaitSmallAppreciateGivingHealthy
Too-easy credit and millions of bad loans made during the U.S. housing bubble paved the way for the financial calamity and Great Recession that followed. Today, by contrast, credit is too tight. Mortgage loans are particularly hard to get, creating a problem for the housing market and the broader economy.
TodayGreatFinancialProblemCredit
They called me the sexiest economist in America, and that was years ago, when I had hair and body mass and my teeth were shiny.
MeHairAmericaBodyTeethYears
Indeed, the FHA was born out of the Great Depression, which was also caused in significant part by a foreclosure crisis. Mortgages in the early 1930s were mostly three- to five-year 'bullet' loans, which did not amortize and were due in full at maturity.
GreatDepressionMaturityEarlyBorn
It is time to move on. House prices won't rise and the economy won't fully engage until more distressed properties are resolved and put back into ordinary use.
TimeBackHouseRiseMove OnMore
Yes. I don't think it would be appropriate at this point to raise taxes on anyone, certainly not in 2011.
ThinkTaxesYesPointWouldRaise
Now, I do think when we move into 2012 and '13 when, presumably, the economy is on firmer ground, I would allow the tax rates for upper-income individuals to revert back to where they were before the cuts in the 1990s. I think at that point it makes perfect sense.
ThinkPerfectBackTaxNowEconomy
A housing renaissance has begun. This may be hard to believe after the dizzying, six-year-long crash in home sales, construction and house prices. But housing turned the corner last year, and it will take off in 2013.
HomeConstructionBelieveYearHouse
Buying a home wouldn't make much sense if house prices were likely to decline further; no one wants to catch a falling knife.
HomeHouseKnifeFallingBuying
No one should expect the value of their house to appreciate quickly - counting on your home to be a significant part of your retirement saving isn't a winning strategy - but it is reasonable to expect that prices generally will rise with at least the rate of inflation for some time to come.
HomeTimeValueWinningRetirement
Housing was ground zero for the Great Recession. Between early 2006 and Obama's inauguration in 2009, average house prices fell by a third across the country. In certain areas, including cities as diverse as Akron, Orlando and Las Vegas, house prices fell by more than half.
GreatVegasEarlyHouseCountry
Copyright © 2024 QuotesDict Mark Zandi quotes