Thanks in part to interest rates continuing at all-time lows, home affordability in the U.S. remains near the most attractive levels in 10 years. In addition, HUD's Neighborhood Stabilization Program (NSP)has spurred local investment and is beginning to make affordably priced homes available to consumers.
The U.S. Department of Housing and Urban Development (HUD) and the U.S. Department of the Treasury released the second edition of the Administration's Housing Scorecard showing:
Historic low rates continue to promote affordability: Families continue to benefit from the lowest rates in history on 30-year fixed mortgages. Since April of 2009, record low rates have helped more than 7.2 million homeowners to refinance, resulting in more stable home prices and $12.9 billion in total borrower savings.
Over twice as many homeowners helped compared to foreclosure completions: Nearly three million borrowers have received restructured mortgages since April 2009, outpacing the 1.24 million foreclosure completions for the same period. As more families are able to remain in their homes, household assets continue to rise with $1.1 trillion in home equity gained since April 2009.
Meanwhile, data in the scorecard show that the recovery of the housing market remains fragile; with some measures suggesting recovery will take place over time. For example, in May, sales of new and existing sales dropped after the expiration of the tax credit, and the supply of homes on and off the market remains near all-time highs; it will take time to work through this large inventory.
Complete Housing Scorecard available by clicking here: