ARAMCO Report - The Mother of ALL Mortgage Blogs!

Nearly half of renters wish they were owners

Posted by Darius Aram on Mon, Jun 3, 2019 @ 05:06 AM

Despite the increased cost, repairs, taxes and insurance, 45 percent of renters regret renting instead of being able to buy a home. This is more than five times the share of homeowners (8 percent) who regret buying instead of renting. This information comes from a survey conducted by Zillow Research.

The top two regrets that renters have include not being able to build equity in a property and not having the ability to customize or improve their home. This was followed by feeling that that rental prices are simply too high.

87 percent of renters have regrets about their current home compared to 72 percent of people who own. San Diego ranked near the top, with 91 percent of renters reporting at least one regret.

Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 4.00 percent, 15-year rates are near 3.625 percent and the 5-year ARM is averaging 4.00 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.

Topics: San Diego, homeowners, home equity, Zillow, homeownership, Mortgage rates, Renters, San Diego Housing Market, Rental Prices

Even in challenging market, Calif. renters aspire to homeownership

Posted by Mehran Aram on Mon, Dec 10, 2018 @ 05:12 AM

Despite challenges in affordability and inventory, renters in California still yearn to become homeowners one day. This is according to a new consumer survey released by the California Association of Realtors last week. The survey found that approximately half of California's renters rated homeownership as very important or extremely important and that four out of five renters want to own a home in the future.

Respondents to the survey see the financial benefits of homeownership as well with 21 percent saying homeownership is a good long-term investment.

Studies of renter demographics show that renters in southern California spend upwards of half of their monthly income on rent suggesting that even in tough market conditions, homeownership may still be more economical than renting.

Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 4.75 percent, 15-year rates are near 4.125 percent and the 5-year ARM is averaging 4.375 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.

Topics: California, Mortgage rates, Renters, rental market

California voters to decide on rent control measure

Posted by The Aramco Group on Sun, Oct 7, 2018 @ 09:10 AM

The rate at which rents are rising in California is unprecedented. More than half the state’s renters are spending 30 percent or more of their monthly income on rent according to the U.S. census bureau. Because of this predicament, organizers collected enough signatures earlier in the year to ensure that Proposition 10 is put before voters. The ballot measure would allow cities and counties across the state to expand rent control,

Supporters of the initiative say it will offer relief for renters and protect them against unreasonable or exorbitant rent increases. Opponents, on the other hand, claim it could lower demand for housing and even prevent owners from setting rent prices on rooms in their own homes.

While San Diego does not currently have any local rent control laws in place, other California cities do. The passage of Proposition 10 would give cities the discretion to expand rent control locally.

Today, conforming no-point 30-year fixed mortgage rates are averaging 4.75 percent, 15-year rates are near 4.25 percent and the 5-year ARM is averaging 4.15 percent.

Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.

Topics: San Diego, census bureau, California, Renters, Rent Control, Proposition 10

ARAMCO Report - Monday May 11, 2015

Posted by The Aramco Group on Mon, May 11, 2015 @ 13:05 PM

San Diego’s vacancy rate must be incredibly low

Residential rents have gone up, renters will pay more, and—paradoxically—investments in real estate are down. How? The vacancy rate must be very low. The San Diego County Apartment Association (SDCAA) will conduct its next survey in June.

Rental Rates are up 5.4 percent in San Diego and nationally compared to one year before according to Zillow.com and the National Association of Realtors, respectively. In San Diego that means that rent in March 2015 was on average $2,339/month up from $2,218/ month in March 2014. 

At the same time, Rent.com released a survey during the week of May 4, 2015 that 55 percent of millennials would pay $150 more per month for their rent. That would equal to another 6.4 percent increase to the current prices cited above for San Diego.

However, the National Association of Realtors reports that the number of real estate sales made to investors is down to 14 percent in April 2015 from 20 percent at the same time last year.

Potential homebuyers looking for rest from the rental market will find conforming no point 30-year fixed mortgage rates average 3.875 meanwhile 15-year rates are closer to 3.125 percent.

For more information on a home purchase, refinance, or a reverse mortgage, visit our website at Aramco.Biz or call me at (877) 700-0942. This is Mehran Aram with today's ARAMCO Report.

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Topics: real estate, investing, 30 year fixed rates, National Association of Realtors, Vacancy Rate, Investors, Rent, Renters