Homefinding Book

Money Magazine recently published a study that shows Cincinnati is one of six cities where property values are most likely to rise and least likely to decline over the next 12 months. Buying a home today in Greater Cincinnati makes good financial sense. Why? Three key reasons:

1) Great Inventory. Anyone looking for a home today will find a tremendous selection - nearly 16,000 properties are listed in the Cincinnati MLS. Whether you’re looking for a starter home, a high-end custom home or something in between, you’ll find just the home you’re looking for.

2) Low Interest Rates. Mortgage rates determine how much you can afford. With the current low rates, you have significantly more buying power. How low are rates today? Those who bought a home in 1963 were paying roughly the same rate as you’ll pay today. The rates won’t stay this low forever. Buying a home now can save you thousands of dollars in interest.

3) Home Ownership Will Always be a Good Investment. Even if you are on the fence for now, that’s OK. There will be plenty of opportunities to buy a home when you’re ready. Home ownership is a vital engine in the American economy. It creates strong communities and builds wealth for families who buy homes. Home ownership won’t go out of style. Home owners are invested in our communities. They are the joiners, fixer-uppers, and watchdogs that make our nation strong. Nine out of 10 consumers consider home ownership to be a sound financial decision. Purchasing a home is a great way to invest your money. In the past 40 years, real estate has delivered the most consistent positive return over any investment. When you are buying a home, you are building equity and adding to your assets.

When it comes to raising families these days it may not take a literal village but there are many communities that offer a little more to attract the average family than others. Below you will read about some of these communities and what they have to offer. You may even find one that is ideally suited for your needs and those of your family.

Nashville, TN

Far more than Music City, Nashville has much to offer families looking for a great place to call home. Not only is there plenty to offer music lovers with free concerts offered regularly there are also plenty of cultural offerings such as museums and festivals to keep the family busy with some wholesome fun and entertainment year round. Education in and around Nashville is top-notch and housing costs are quite reasonable. One thing that Nashville has to offer that seems to be missing in other similarly sized cities is a strong sense of community. If you are looking for a place where your family will feel at home you might want to give Nashville more than a passing glance.

Farmington, MI

Located in closes proximity to the cultural offerings of Detroit and Ann Arbor you will find that Farmington, MI has much to offer the average family. From small town values to a serious community commitment to art, music, and theater, Farmington offers a wholesome and well-rounded upbringing for your children. Perhaps more importantly is that fact that Farmington offers very reasonable property values so that you can afford to live in this fascinating city and still manage to enjoy some of the great entertainment that is at your disposal. It doesn’t hurt that there are often free concerts in the city for families.

Mooresville, NC

Dubbed as “Race City USA,” Mooresville, NC is another great city to raise families. In addition to affordable housing and taxes, there are plenty of modern conveniences that bring in businesses and a prevailing ’small town’ atmosphere that makes this city appealing to families. Don’t think for one second that this means the schools in Mooresville get left behind. There is a major commitment to education in Mooresville. The “Race City USA” nickname came about because so many racing teams are headquartered in Moorseville.

Kansas City, MO

In addition to great schools and community pools Kansas City, MO has a lot to offer the average family. Affordable prices cannot be overlooked in a real estate marketing that seems to be skyrocketing out of control. When you couple that with walking trails, museums, and Midwestern values this is one great city you and your family can call home.

There are many great cities throughout the United States large and small that are great locations for raising a family. Those cities that top the list are generally the very cities that offer affordable housing options, commitment to education, a focus on culture and the arts, as well as plenty of activities to get kids away from their televisions and computers and moving around. Ultimately it is up to you to make the final choice as to which city is best for you and your family. Finances should be a prime consideration, especially the cost of housing. It makes no sense to move somewhere for a better life if you can’t afford to live that life because you are too busy trying to pay your house notes each month.

With property prices dropping, first-time buyers might start celebrating. But is property really becoming more affordable? Lenders have been stung by the cheap borrowing over the last decade and now mortgage companies have become far more selective about who they lend to and are no longer prepared to give the low interest rates and 100% mortgages. In fact, to get a decent deal you now have to have a decent deposit of around 20% or more. Deposits are hard enough to get your hands on but with the cost of living rising sharply it is even harder to save in the first place. For those already on the property ladder, they are likely to have seen the price of their house price and home equity decrease.

For tenants who may think they are safe: rents are actually increasing as mortgages and living costs rise – landlords need to make more from their property. There are a growing number of tenants and fewer properties to rent as more and more people are putting off a home purchase and as landlords increase rents.

However it isn’t all doom and gloom. For those of us who saved while times are good, we can still avail of good mortgage deals. Those who brought there houses a long time ago are unlikely to fall into negative equity due to the phenomenal rise in house prices over the last decade.

There is also good news. Each state has its expensive and more affordable areas: a house which might cost $1 million in one area might be 100,000 cheaper in another. More than that, It is very important in the current trends to check out the market carefully, some areas are still rising and certain areas are dropping faster or more than others. Also, some areas are cheap but low house prices don’t make the area affordable, jobs may be few with low incomes. So where are the most affordable locations to live (in no particular order)?

Note: Average house prices that are double the yearly average income make the housing affordable.

Indianapolis, Indiana
Average house price – $112,500
Average income – $60,383
% of housing for sale that is affordable – 89%

Cleveland, Ohio
Average house price – $122,900
Average income – $57,472
% of housing for sale that is affordable – 82%

Detroit, Michigan
Average house price – $154,600
Average income – $63,052
% of housing for sale that is affordable – 80%

Pittsburgh, Pennsylvania
Average house price – $109,000
Average income – $54.872
% of housing for sale that is affordable – 76%

Cincinnati, Ohio
Average house price – $136,800
Average income – $60.146
% of housing for sale that is affordable – 78%

St Louis, Montana
Average house price – $134,400
Average income – $59.950
% of housing for sale that is affordable –77%

Atlanta, Georgia
Average house price – $170,400
Average income – $63,484
% of housing for sale that is affordable – 69%

Greensborough, North Carolina
Average house price – $145,100
Average income – $50,447
% of housing for sale that is affordable – 71%

Dallas, Texas
Average house price – $145,500
Average income – $58,738
% of housing for sale that is affordable – 57%

Austin, Texas
Average house price – $176,200
Average income – $65,739
% of housing for sale that is affordable – 56%