Suburban housing trends across America
Posted on Monday, October 29, 2012 at 12:16:04 PM
Suburban communities have traditionally appealed to married couples with in growing families. However, new studies show these neighborhoods are growing in popularity with people of all ages and backgrounds as more downtown areas undergo development projects.
According to data from OnBoard Informatics, suburbs typically rank high in safety compared to rural or urban areas, as crime is 40 percent less likely to occur in a suburb than the national average. In addition, people living in the suburbs are also 75 percent more likely to own their own homes - higher than the national average of 67 percent.
"Increasing home prices will help the real estate market in a few ways. First, increasing prices will help breed confidence in housing values and potentially provide less scrutiny of appraisal reports. Second, as home prices rise there is a chance some pent up demand is unleashed as "buy up" sellers are allowed to move up to higher priced homes. Finally, increased home prices can change the perception of risk in the mortgage market which can lead to a more borrower friendly environment," said Home Loan Investment Bank Vice President Patrick Deady. "The increased home values will entice more people to apply for a mortgage as they gain confidence in their equity position for refinances and choose to buy now with a purchase mortgage for fear that prices may rise even higher."
As the economy continues to improve, more Americans will begin to look for affordable residential financing options.