Housing Confidence On The Rise

Housing confidence rose in September to match the all-time high set in June. The main driver: a big jump in the share of current renters surveyed saying now is a good time to buy. In addition, the share of those respondents saying they believed home prices would go up in the next year dropped significantly. This, even though respondents continue to say that the main barrier to entry-level home ownership today is high prices.

Also help is the loosening mortgage lending standards. The median FICO score in August fell slightly from a year ago, according to Ellie Mae. Lenders are also approving loan applications at the highest rates since 2011, with 77 percent of applications for loans to purchase a home approved - compare that to just 59 percent in 2012.

The Mortgage Bankers Association reported credit availability increased in September, as well. Not surprisingly, credit has eased most for larger loans to buy more expensive homes. That is because most of the sales activity today is happening on the higher end of the housing market, where there are more homes for sale.

Todd Probasco Mortgage Banker NMLS 232536 can be reached at 708.205.2983, email toddprobasco@gmail.com or website www.toddprobasco.com