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Lou McNamee's Blog

By Lourdrie McNamee, MRP | Agent in Lakewood, CA

Good Morning Lakewood/Are Home Prices Rising, Part III

3 Financial Reasons to Buy a Home NOW! (Part III) 

Brought to you by: The KCM Crew

Part III – Rents Are Skyrocketing

money evaporating houseWhether you own or rent, you will have a monthly housing expense. The question is how that expense will change in the future. When you purchase a home, for the most part, you lock-in that monthly housing expense for the length of the mortgage you take (15 or 30 years for example). When you rent a home, your housing expense is impacted by movements in the supply and demand for rental properties.

Historically, residential rental rates increase by 3.2% on an annual basis. However, in the current housing environment, there is an increasing demand for residential rental properties. This increase in demand has dramatically impacted rates. Zillow, in their most recent report, revealed that rental rates in the U.S. increased by 4.5% over the last twelve months. Other studies have projected rental rate increases of 4-5% over the next few years.

The only way to have control of your housing expense is to buy.

But Isn’t Buying Much More Expensive Than Renting?

 Not right now! As a matter of fact, with prices down and mortgage rates at historic lows, it is LESS EXPENSIVE to buy than rent in most areas. In a recent report, Trulia revealed it is cheaper to buy than rent in ALL of America’s largest regions.

According to Jed Kolko, Trulia’s Chief Economist:

“People who didn’t buy a home last year may have missed the bottom of the market, but they haven’t completely missed the boat. Buying remains cheaper than renting in all 100 large metros. Even buyers who can’t get today’s lowest mortgage rates will still find that buying makes more financial sense than renting in nearly all local markets.”

However, Kolko went on to say that this opportunity may soon disappear:

“Although buying a home is still cheaper than renting, the gap is closing. In 2013, home prices should rise faster than rents, and mortgage rates are likely to rise in the next year as the economy improves. By next year, buying could be more expensive than renting in some housing markets, even for people with the best credit.”

Again, the only way to lock-in your monthly housing expense is to take that decision out of the hands of a landlord by owning. With both prices and interest rates set to increase, the best time to buy is right now.




Lakewood Happenings in...

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Affordable family fun: Mark Twain and the ‘Animal Guys’

 Friday, April 5 and Friday, May 31

Spring has almost sprung and family fun is at the forefront. The first of two impressive live family programs is set for Friday, April 5. Actors will bring the classic American tale of Tom Sawyer and his friends alive in the intimate small venue of The Centre at Sycamore Plaza. The Family Fun event offers Lakewood families an affordable meal and the timeless stories of Mark Twain as performed by “Will and Company.”
[FULL STORY]
‘Volunteer Day’ is looking for a few good project sites
For Saturday, April 20

On Saturday, April 20, 2013, hundreds of Lakewood residents will fan out across the city to spruce up the yard or home exterior of fellow Lakewood residents in need. Volunteer Day has been making a positive difference in the city every spring for 16 years.

Help locate qualifying sites in Lakewood. They need to be private homes in Lakewood owned by a Lakewood resident. Recipients can be seniors or persons of any age who, because of disability or limited economic means, need some neighborly help to make their yard or home exterior a little nicer. Work can include gardening, yard clean-up or minor painting.
[FULL STORY]

Lakewood in March 

“The Joint” chiropractic office opens March 28

Free adjustments, food and light refreshments will be available on Thursday, March 28 from 10:00 a.m. to 7:00 p.m. when The Joint holds its grand opening at 5109 Candlewood Street (at the northeast corner with Clark Avenue). A ribbon cutting will be held at 5:00 p.m.

The Joint features licensed chiropractors, with convenient hours and no appointments required. Call them at 562-925-2114 or visit www.chiropractorlakewood-thejoint.com.

A discount coupon for The Joint is available at www.shoplakewood.org.
[FULL STORY]

 
 

Blood drive coming to Lakewood Center

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The Lakewood Sheriff's Community Safety Center, in cooperation with the American Red Cross, is holding a blood drive on Friday, March 29, from 12:00 noon to 6:00 p.m. All participating donors will receive two tickets for an LA Galaxy soccer game ($10 Processing fee per ticket,) and discounted tickets to the Sesame Street Show at the Nokia Theatre at L.A. Live. The Lakewood Sheriff’s Community Safety Center is located near Target at 15 Lakewood Center Mall.
More...

CERT training runs for three Saturdays this month

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Lakewood residents wanting advanced disaster-prep training will join FEMA-certified instructors and Los Angeles County Fire Department personnel this month for three days. “CERT” training is an in-depth, 21-hour program and is part of the county-wide Community Emergency Response Team effort.


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This month on CityTV

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In March tune in to lakewood Youth Hall of Fame, Café 5050 and Community Digest. CityTV Channel 31, on Time Warner Cable and FiOS TV, produces programming each month ranging from local news and entertainment to sports and special events.

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 Visit me at https://www.facebook.com/LifeInLakewoodRealtor and at http://loubandb.com/ for my latest newsletter

 Have any questions regarding Lakewood, I’m just a click away.

  Have anything to share about the Neighborhoods



or the Community.  Please feel free to post events or recommendations;

it’s always great to hear about what’s going on in our hometown. 


Quote of the day:

Birthday Celebrations:  You share your Birthday today...

Mariah Carey & Quentin Tarantino

If you feel you are ready to start the home buying process, give me a call.  It would be my pleasure to offer you my services and have the opportunity to serve you. 

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Lourdrie “Lou” McNamee 

Coldwell Banker    

Lic#01317775 

loubandb@gmail.com

loubandb.com 

facebook.com/LifeInLakewoodRealtor 

562-879-9677

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