Another Housing Report Shows Big Price Increases Year over Year

Another housing report released showed big price increases year over year, adding more credence to the housing recovery that is in full swing, thanks to low home prices and low mortgage rates. Corelogic, the real estate data and analytics firm, released their January 2013 Home Price Index (HPI) Report, which showed housing prices increased 9.7 percent in January 2013 compared to January 2012.

Another Housing Report Shows Big Price Increases Year over YearCorelogic's HPI report is one of many released over the past year that shows stronger home sales, higher home prices, and a lower amount of homes in inventory for sale - all a net positive for housing. With the highest home affordability in a generation and the lowest mortgage rates in over 40 years, now is a good time to buy a home. Mortgage rates today on 30 year conforming loans can be found as low as 3.00 percent if you're willing to pay points on a loan.

Loan Type
Purchase    Refinance
Location
State/City    Zip Code
Loan Amt Points FICO % Down
  
$
30 yr fixed refi in 23223, All points, Credit score: 740+     Sort by:
Lender
APR
Rate
Cost & Fees
Notes
 
30 yr fixed mtg refi Mortgage Loan from Bank of Oak Ridge
Bank of Oak Ridge
300000
Refinance
4.295
4.250
USD
Bank of Oak Ridge
4.295%
4/18/2019
4.250%
at 0.250 pts
60 day lock rate
Est payment: $1,475.82
Fees in APR: $853
 
 
30 yr fixed mtg refi Mortgage Loan from Northwest Federal Credit Union
Northwest Federal Credit Union
300000
Refinance
4.316
4.250
USD
Northwest Federal Credit Union
4.316%
4/17/2019
4.250%
at 0.750 pts
45 day lock rate
Est payment: $1,475.82
Fees in APR: $79
 
 
30 yr fixed mtg refi Mortgage Loan from Bank of America
Bank of America
300000
Refinance
4.343
4.250
USD
Bank of America
4.343%
4/17/2019
4.250%
at 0.671 pts
60 day lock rate
Est payment: $1,475.82
Fees in APR: $1,289
 
 
30 yr fixed mtg refi Mortgage Loan from Apple Federal Credit Union
Apple Federal Credit Union
300000
Refinance
4.345
4.250
USD
Apple Federal Credit Union
4.345%
4/17/2019
4.250%
at 1.000 pts
60 day lock rate
Est payment: $1,475.82
Fees in APR: $352
 
 
30 yr fixed mtg refi Mortgage Loan from TD Bank, NA
TD Bank, NA
300000
Refinance
4.278
4.250
USD
TD Bank, NA
4.278%
4/19/2019
4.250%
at 0.000 pts
45 day lock rate
Est payment: $1,475.82
Fees in APR: $982
 
 
30 yr fixed mtg refi Mortgage Loan from State Department Federal Credit Union
State Department Federal Credit Union
300000
Refinance
4.432
4.375
USD
State Department Federal Credit Union
4.432%
4/22/2019
4.375%
at 0.000 pts
60 day lock rate
Est payment: $1,497.86
Fees in APR: $2,000
 
 
30 yr fixed mtg refi Mortgage Loan from Virginia Credit Union
Virginia Credit Union
300000
Refinance
4.328
4.250
USD
Virginia Credit Union
4.328%
4/23/2019
4.250%
at 0.375 pts
45 day lock rate
Est payment: $1,475.82
Fees in APR: $1,650
 
 
30 yr fixed mtg refi Mortgage Loan from Fulton Bank, NA
Fulton Bank, NA
300000
Refinance
4.539
4.500
USD
Fulton Bank, NA
4.539%
4/23/2019
4.500%
at 0.125 pts
60 day lock rate
Est payment: $1,520.06
Fees in APR: $1,007
 
 
30 yr fixed mtg refi Mortgage Loan from Santander Bank, N.A.
Santander Bank, N.A.
300000
Refinance
4.557
4.500
USD
Santander Bank, N.A.
4.557%
4/23/2019
4.500%
at 0.000 pts
60 day lock rate
Est payment: $1,520.06
Fees in APR: $2,004
 
 
30 yr fixed mtg refi Mortgage Loan from LincolnWay Community Bank
LincolnWay Community Bank
300000
Refinance
4.155
4.125
USD
LincolnWay Community Bank
4.155%
4/23/2019
4.125%
at 0.000 pts
30 day lock rate
Est payment: $1,453.95
Fees in APR: $1,085
 
 

Mortage Data Provided by Bankrate.com Many lenders have different rates on their own Websites than those posted on Bankrate.com. In order to get the Bankrate.com rate, please identify yourself as a Bankrate.com customer. If you believe that you have received an inaccurate quote or are otherwise not satisfied with the services provided to you by the lender you choose, please click here.

The rates above were collected by Bankrate.com on the dates specified. Rates are subject to change without notice and may vary from branch to branch. Rate/APR and terms may vary based on the creditworthiness of the individual and the extent to which the loan differs from the one used for Bankrate.com quotes. For criteria used in surveys of rates above, click here. These quotes are from banks, thrifts, and brokers, some of whom have paid for a link to their own Web site, where you can find additional information.






Home prices month over month were also higher in the HPI report. On a month-over-month basis, home prices increased by 0.7 percent in January 2013 compared to December 2012. This number also includes including distressed sales, which is telling since distressed sales, short sales, and foreclosures usually sell for less than prevailing market prices.

An increase in home prices was seen across the United States with the exception of two states, Delaware and Illinois. I'd imagine those states will see higher home prices as well in 2013 since current mortgage rates are still just above record lows.

In another recent housing report, home loan demand surged into the double digits week over week. In the Mortgage Bankers Association's most recent Weekly Application Survey, mortgage applications increased 14.8 percent from one week earlier. Loan demand was driven higher for both home purchases and refinancing as mortgage rates fell.

The MBA's Purchase Indexed and Refinance Index both increased 15 percent from the previous week. The Refinance Index is now at the highest level since mid-January and the Purchase Index is at the highest level since the beginning of February. The average contract rate on conforming mortgages, jumbo mortgages, and FHA mortgages all fell in this week's survey.

If you're sitting on the sidelines deciding when to buy a home, now is the best time. Since both home prices and mortgage rates will be moving higher in the coming years, you won't get better deals by waiting. You can get the most "bang for your buck" and afford the most home right now. as both prices and rates move higher your home purchasing power diminishes.

For each percent higher rate you pay on a loan, the monthly mortgage payments move higher. For example, a $400,000 home loan at 3.00 percent over 30 years will cost $1686.42 a month (without taxes and insurance). The same loan amount for 30 years at 4.00 percent will cost $1909.66 a month, a $233.42 monthly difference.

As you can see, you can quickly get priced out of a market or your dream home if you wait to buy. Therefore, now is probably going to be the best time to buy. The same holds true if you're thinking about refinancing your current loan. Look at the example above, if your current loan rate is 4.00 percent and you refinance to a rate of 3.00 percent you'll save $233 a month on a $400,000 loan.
 
 
Author: Brian McKay
March 7th, 2013