Author: Brad Beckett

As a recent post on LendingTree points out, while the retirement stage of life is something most Americans plan for, many just aren’t financially prepared. In fact, one common obstacle to a sound retirement is simply debt. To that end, LendingTree calculated the median non-mortgage debt balances for retirement-aged people in the 50 largest U.S. metros, and then calculated the average distribution of that debt.  Among their findings were that the average of median debt for retirement-age borrowers was $20,643 and the average credit score was 701.  Indeed… “Debt is even more burdensome when it’s carried over into retirement. Paying…

The IRS recently announced that it was reopening a program that is key to home lending after the mortgage industry said its closure during the partial government shutdown might force lenders to delay or even scrap loan closings.  According to the Wall Street Journal (as posted on Realtor.com) The Mortgage Bankers Association and other industry trade groups had complained to the Treasury Department that the program’s closure as part of the shutdown could harm consumers seeking to obtain a loan. “Though the program closed because it was funded through the normal appropriations process, the administration determined it could fund it instead…

The American Bankers Association recently released their top 10 real estate finance policy issues to watch in 2019.  Briefly, they are: Ability to repay HMDA (Home Mortgage Disclosure Act ) reforms Fair lending Appraisal thresholds ADC construction opportunities Mortgage servicing regulations Accounting standards and mortgage lending Reforming the GSEs Flood insurance Digital developments and fintech “The real estate finance business has been steering through continuous change for a full decade. The 2008 housing meltdown precipitated a set of policy changes that sparked legal, procedural and structural transformations throughout the market. Even commercial real estate lending, largely immune from heavy regulatory…

According to the latest Yardi Matrix, U.S. multifamily rents held flat in December, coming in again at $1,419, while year-over-year growth was 3.2%.  In addition they point out that while rent growth has been flat since the summer they also believe the fundamentals will remain vigorous in 2019. “The multifamily sector just wrapped up its eighth straight year of robust performance. Since January 2011, rents nationally have increased by 31%, while annual rent growth has been at least 2.9% in every year save 2017. Rent growth has topped 3% in six of the last eight years.  That’s impressive performance, but…

Chinese buyers are expanding their reach in the US housing market as its middle class gets in on the act, this according to a recent report on CNBC’s Realty Check.  According to the report, Diana O’lick says Chinese buyers have been the top foreign buyers in both units and dollar volume of residential housing for six years straight, and are now expanding to new lower priced tiers.  Interestingly, California is still the favorite among Chinese buyers, however they are moving into other areas such as Texas, Georgia and Florida. “The Chinese people still see the United States as a safe…

In 2019, most real estate investors will want to stay away from the cities with soaring prices, where they’re more likely to end up holding the bag than to strike it rich, this is according to Local Market Monitor’s Ingo Winzer in a recent essay on Forbes.com.  If the name sounds familiar, each month we hear from Winzer in his National Economic Outlook where he shares his thoughts on developments taking place in the U.S. economy. “You can never know when a real estate bubble will burst – I happen to think it won’t happen in 2019 – but in places…

We have had several interesting posts about Opportunity Zones and their game-changing potential for areas all across the country.  Put simply an Opportunity Zone is an economically-distressed community where new investments, under certain conditions, are eligible for preferential tax treatment.  They were created by Tax Cuts and Jobs Act in December, 2017.   Today’s infographic from Heffler, Radetich & Saitta calls them  a new avenue for community investment that looks to spark economic recovery in targeted areas of the country, taking aim at $6.5 trillion in unrealized capital gains estimated to be in the market.  Indeed, so now you know…..Happy Friday!!!! Hat tip to Heffler, Radetich…

Every once and a while you come across one of those stories that just epitomizes a notion or concept that hits home.  A recent story on Business Insider chronicles a young Atlanta couple in their 20’s who are successfully using real estate investing to not only pay down their 6-figure student loans, but live the lifestyle of their choosing.  The article says that instead of working to pay down the debt as soon as possible, they decided to buy assets that would generate cash flow and pay for the debt with the passive income. They started with house-hacking a duplex. …

With no end in sight, it was announced that the partial government shutdown taking place in Washington will not affect IRS income tax refunds this filing season.  As reported by Forbes, even if the federal shutdown drags on through the filing season refunds will be paid.  Acting director of the White House Office of Management and Budget, Russell Vought, declared, “Tax refunds will go out.”  Indeed… “Last year, the IRS processed 136,359,149 tax returns during the regular tax season; just over 10% of taxpayers tend to file an extension, bringing the total number of tax returns processed during the year…

According to data recently illustrated by the National Association of Realtors, the price of a typical home was $235,000 in Q3 of 2018. They used data from the FHFA and American Community Survey (ACS) to calculate a median home value for 3,119 counties and county-equivalents across the United States.  Interestingly, their estimates show that 87% of counties had a lower median home value than the national level. Indeed…no go dive in. Click here to read the full story at the National Association of Realtors.