Good News for Orange County Real Estate – Housing Costa Below 2003 Levels
With all of the consistent bad news we hear about real estate and the economy, I believe there is some housing news worth sharing.
In today’s world, the median value of Orange County real estate stands around 2003 prices, this is before the big upswing that we saw in the first decade of the 21st Century. I hear you saying, “Christine, we alread know this. We know home prices have fallen dramatically, we listen to it daily on the news and read it online. What’s your point?”
This is the kicker. In August 2003, the average interest rate was 6.26%.* In July 2011, the average interest rate was 4.54%* for a 30 year mortgage. What a difference this can make in your montly mortgage payment.
This is the difference between $2465 payment on principal and interest on a $400,000 in 2003 versus $2036 based on the average July 2011 rate. This is a savings of over $400/month or almost $5,000 per year!
So, if you’re looking for good news in the Orange County real estate market, let’s start talking about affordability. Not only, are prices down to 2003 levels, but interest rates are far lower than they were in 2003.
If you’re ready to take advantage of the great prices, please give Christine Donovan a call at 714-319-9751.
*According to Freddie Mac’s Weekly Primary Mortgage Market Survey.