Entries by Charlie Christensen

 WHERE WE LIVE – 9/17/19

40% of American homeowners, i.e., 31.4 million out of 78.5 million, own their primary residence free and clear of any debt, i.e., no outstanding mortgage debt or home equity loan.  The 31.4 million homeowners with zero housing debt represent 26% of the 122.4 million households in the United States today, the latter total including 43.9 million […]

A NEW HIGH – 9/16/19

After adjusting numerical data from the past for the impact of inflation, the median household income in 2018 ($63,179) is the highest ever recorded in the USA and the 3rd consecutive year (2016-2018) that produced an all-time inflation-adjusted record.  Before 2016, the peak for median household income was $61,526 set in 1999 (source: Federal Reserve […]

IT WILL HAPPEN AT SOME POINT – 9/13/19

40% of 226 economists surveyed in July 2019 believe the United States will fall into a recession by the end of 2020, while the remaining 60% believe our nation’s next recession will begin in 2021 or later (source: National Association for Business Economics). *The views, articles, postings and other information listed on this website are […]

UNEXPECTED – 9/12/19

The average interest rate nationwide on a 30-year fixed rate mortgage has dropped from 4.51% on 1/03/19 to 3.58% on Thursday 8/29/19 (source: FreddieMac). *The views, articles, postings and other information listed on this website are personal and do not necessarily represent the opinion or the position of American Pacific Mortgage Corporation.      

HOME VALUES RISING – 9/11/19

Between 6/30/18 and 6/30/19, average home prices increased in all 50 US states.  Idaho’s +11.4% average home price gain led the nation over the last year while Delaware’s +1.2% growth rate was the nation’s smallest (source: Federal Housing Finance Agency). *The views, articles, postings and other information listed on this website are personal and do […]

JOBLESS RATE – 9/10/19

The last recession in the United States began in December 2007 and lasted 18 months.  The nation’s unemployment rate in December 2007 was 5.0%, on its way to a peak jobless rate of 10.0% by October 2009. The unemployment rate nationwide in July 2019 was 3.7% (source: Department of Labor). *The views, articles, postings and […]

MAINTAINING PURCHASING POWER – 9/9/19

A 65-year old spending $100,000 per year (after-tax) would need $128,008 per year (after-tax) by age 75 and $163,862 per year (after-tax) by age 85 if his/her cost of living was increasing by +2.5% per year due to inflation. *The views, articles, postings and other information listed on this website are personal and do not necessarily represent the opinion or the position of American Pacific Mortgage Corporation.

HOW WAS YOUR SUMMER? – 9/6/19

Stocks gained +6.9% (total return) during the 3 summers months (June-July-August) while bonds gained +4.1% (total return).  The S&P 500 was used for the stock calculation, while the Bloomberg Barclays Aggregate bond index, calculated using 6,000 publicly traded government and corporate bonds with an average maturity of 5 years, was used as the bond measurement (source: Bloomberg). *The views, articles, postings and other information listed on this website are personal and do not necessarily […]

A small number of days – 9/5/19

Today is the 8-year anniversary since the USA was downgraded on 8/05/11 by S&P from a top credit rating.  Since 8/05/11, the yield on the US 10-year Treasury note has fallen from 2.57% to 1.85% and the S&P 500 has gained +189% (total return), equal to +14.2% per year.  The S&P 500 consists of 500 stocks chosen for market size, liquidity and industry group representation.  It is a market value weighted index […]

Big boost for buyers, immobile interest & a “friend fee?”

08-09-2019 ASCENDING AFFORDABILITY Housing affordability has reached an 18-month high. Commenting on the release of the latest Mortgage Monitor Report, Black Knight Financial Services Data & Analytics President Ben Graboske said, “The decline in 30-year rates has been equivalent to a 15% increase in buying power, meaning that prospective homebuyers shopping for the average-priced home […]