This is an urgent reminder for those of you who have Sunday morning plans! Or even for those who are planning to roll out of bed a half hour before NFL games start and sit on the couch all day (nothing wrong with that!).
At 2:00 a.m. tonight, clocks will fall back an hour so your internal clock might wake you up a bit earlier. It’s worth that sacrifice of being tired earlier to get the extra hour of sunlight we’ve been so desperately missing. Just remember to reset your clocks tomorrow morning when you get up!
We’ve seen rates increase since Donald Trump won the election. Now, the Fed is saying they’ll do three rate hikes instead of the expected two in 2017. This caused rates to bump up about half a percent. What do interest rate increases mean in regards to a buyer’s payment and the overall market?
According to The Wall Street Journal, if we adjust for inflation since 2006, housing prices are actually 16 percent below their 2006 peaks in most areas. Many economists are saying the demand for housing remains as strong as ever and that recent rate increases will have a minimal effect.
However, people usually make home purchases based on payment. So as interest rates increase, somebody thinking of purchasing should know a 1/2 percent increase in rates for a $500,000 loan, increases the payment about $140-$150 (and even less after “tax benefits”).
Should buyers and borrowers wait to see if rates fall before moving forward with transactions? Jay Voorhees of JVM Lending says absolutely not. Borrowers can easily take advantage of no-cost refi’s if rates fall.
And, as Gary Shilling wrote in a Forbes column on Dec. 6, he thinks the markets massively overreacted to Trump’s election. He points out that the root causes of weak economic growth (that have kept rates low) will remain. He also says that Trump’s proposed tax cuts and stimulus programs will be watered down by Congress; the expectations of an economic boom are overblown.
What do you believe? Are you bullish or bearish? This election reinforced the notion that nobody has a crystal ball and sitting on the fence waiting for one outcome or another may be the worst thing you can do.
Everything’s coming up Better Homes and Gardens right now. Even Pantone’s Color of the Year is “Greenery,” which is very similar to what we use here at BHG.
Check out the story on the Color of the Year, which Pantone describes as “a fresh and zesty yellow-green shade that evokes the first days of spring when nature’s greens revive, restore and renew.” As an outdoor enthusiast and BHG realtor, I love this. But, I probably won’t be painting my walls this color – I think it makes a great accent color!
My favorite part of Pantone’s description, though, is this at the end: “A life-affirming shade, Greenery is also emblematic of the pursuit of personal passions and vitality.”
As we near the end of 2016 and move into 2017, it’s a good time to reflect and consider what we’ve accomplished and what there is to look forward to. I have a few resolutions: up by 6, work out Monday through Friday and in bed before 11 (no more falling asleep on the couch)! And of course, the time to lose some weight needs to become a reality versus just thinking about it. I am also going to start a remodel and add an in-law unit to my current house; I’m thinking about setting myself up for retirement. What is on your New Year’s resolution list?
This New Year’s Eve, there seems to be a ton of fun events at local establishments for you to ring in 2017 with.
For me, New Year’s is a time to reflect on the year that has just passed and to focus forward with new resolutions – what can be improved, how to get into shape and what can I do better. I tend to struggle with the idea that one has to have a special celebration for this event, as I always find the hype does not live up to the expectation, and I am left with disappointment.
My best New Year’s celebrations have always been the unexpected. My favorite was a last-minute ski trip to Sugar Bowl where we scored a small room due to a cancellation. Our kids had the run of the lodge because the only way in was by gondola, and we could walk out the door to the lift. To our surprise, they had night skiing, champagne and sparkling cider at the hut atop the hill. Then, at 11:30, those who wanted to participate did the torch run, and when all were safely down, the fireworks exploded! So as the clock hits midnight, we all turn the page and start looking forward to new adventures in 2017.
If you feel that you have to do something and have made no plans, but don’t want to venture all the way to San Francisco, take a look at a couple of local events taking place on New Year’s Eve: