The National Association of Home Builders/Wells Fargo Housing Opportunity Index showed in the first quarter of this year that 72.2% of families earning the national median income of $63,800 could afford to purchase a new or existing home. That number is slightly higher than the previous quarter and near the record-high 72.5% set during the first quarter a year ago.
The 30-year fixed-rate mortgage averaged 4.93% with an average 0.7 point for the week ending May 13, 2010, according to Freddie Mac’s Primary Mortgage Market Survey. Last week, it averaged 5.00%, and a year ago it averaged 4.81%. “Interest rates on fixed-rate mortgage declined for the 5th straight week,” said Frank Nothaft, Freddie Mac vice president and chief economist. ”The National Association of Realtors® reported that median house prices are recovering in more local areas in the latest quarter. On a year-over-year basis for the 152 areas the association reports on, 91 metropolitan areas had positive growth in the first quarter of this year.”
