Highest Home Ownership Rate

We're reading a lot about the unaffordability of housing, but 73.4 million Americans own their own homes, the highest rate recorded. The Midwest has the highest rate and the West has the lowest rate, and rates also differ among groups of people, however all rates by race are higher than a year ago. Click on this California Association of Realtors article to read more.

Lower Rates But Not For Long

People who wait will probably pay for it ... it's better to buy or refinance now rather than outguess the market. These are still historically low rates, and waiting shows every indication of ultimately costing you more. This article, Mortgage rates trickle down, shows a small chart on the effect of rate changes vs. your monthly mortgage. So if you're wanting to buy, don't miss out on an opportunity to save money.

Vacation Homes--What to Do About Taxes

This is the time of year for taking a vacation, or at least thinking about it if you haven't already. Buying a second home has a practical side to it: The IRS says it does not qualify for 1031 tax exchanges because it's a personal use property, not an investment, particularly when any income from it is less than the fair rental market, and if you rent it more than 14 days a year, you must pay taxes on the income. To minimize your capital gains tax consequences when selling, first move into it and convert it to your principal residence. For more on vacation homes, click and read the article.

Interest Rates May Rise Quickly?

Expect Alan Greenspan to measure his words, but the message overall is that there will be no more cuts and they will only go up. How much they will go up and how quickly is not known--that depends on inflation, jobs, and the economy. Read here for more.

L.B. Airport Runway Repair Changes Flights For A While

A $35 million runway repair at the Long Beach Airport is rearranging some flights for a while. Flight noise is not unusual for those who live in the scheduled flight path, but is giving a new learning opportunity for those living under the temporary paths. Most of the work is scheduled at night after 11 p.m. for minimal impact. Just click here to read more about this extensive rehabilitation.

If You're Considering Relocation . . .

Buyers ages 55 to 74 are looking to living just outside of major metropolitan areas. Sumter County, Florida, received the greatest growth, according to 2000 Census data, and also Sumter topped the list for recent home buyers ages 55 to 74. Nye County, Nevada (Las Vegas suburb) was second, with Salt Lake City, Phoenix and Savannah, GA, areas coming in next. Read more here about some additional information on these and other areas attracting the older homebuyer market.

Not All Loans and Lenders Are Created Equal

Buyers tend to overlook the importance of comparing loans when starting to home shop, or loan officers. If your FICO score is in the low 600's, don't expect to get the same deal your friend with a 700 FICO just closed on. If your loan rep is a relative or a friend, that's all the more reason to compare loans, it's possible to get taken for granted, or worse, find out your friend isn't very experienced. Here are 10 questions to ask when applying for a mortgage, always ask for an upfront good faith estimate. If the loan rep isn't in a hurry to provide you with one, keep shopping. Don't underestimate the important of providing all documentation on time or taking care of other loan conditions as soon as possible.

Printers and Cartridges costing you a fortune?

Freelance writer Mike Antoniak writes about affordability in color laser printers, and more good news about standardization in those little ink cartridges that quickly cost more than the price of the printers.  With the introduction by Hewlett Packard of the first color laser model to break the $500 price point, a color laser printer is finally an affordable option for many.  If you can justify the added expense, you can now get an entry-level color laser printer for $500, roughly half of what it would have cost two years ago. Visit the vendors' Web site for detailed specs and ordering information.

• Hewlett Packard: At $499, the new HP Color LaserJet 2550L sets a new threshold among entry-level color laser printers. For the home/small office, HP has also added two new inkjet models, the HP Office jet 4215 printer/fax/scanner/copier, at $149, and the HP PSC 1315 printer/scanner/copier, at $99. 

• Dell: Its latest entries include a new multifunction inkjet printer and three new monochrome laser models, at $129 Photo All-in-One 922; the Dell Laser Printer 1700, $199, a network-ready version, the 1700n, is available for $100 more. The company also adds a multifunction laser unit with the new 1600n for $399. Designed for work groups, this combination printer/scanner/fax/copier is rated at 22 ppm at 1,200 dpi.

• Lexmark: The company has just announced a family of five upgradeable monochrome laser printers targeting the needs of home and small offices. Users will have an option of 2,500-page or 6,000-page toner cartridges. At $199, is the basic model, E 232, and for $100 more, you can get the E232t with its 550-sheet paper tray. The E330, for $399, offers a faster print speed of 27 ppm and its own 200MHz processor for processing print files. Step-up models include the E332n, network ready for $499, and the E332tn, for $599.

• IBM: The company's newest entry-level laser printer is the Infoprint Color 1334, available for $1,113 on Big Blue's Web site, with maximum print speeds of 30 ppm black and 8 ppm color at 1200 dpi. IBM has also added an entry-level monochrome laser printer—the InfoPrint 1412 delivering 27 ppm at 1,200 dpi. Both units are network ready.

The real expense of owning any desktop printer is determined by the cost of its consumables—the ink or toner cartridge required for printing. Each manufacturer has its own formula for determining cartridge life and cites the numbers that make its printers look best.  Fortunately, that's about to change. Working with printer makers Canon, Epson, Hewlett Packard, and Lexmark, the International Organization for Standardization has just established the first industry-wide standards for determining printer cartridge yield. The initial methodology outlines how tests should be conducted as well as how results should be interpreted for monochrome laser cartridges. The companies will continue to work with the ISO to develop standards for measuring the life cycle of color toner cartridges and monochrome and color inkjet cartridges. Those standards are expected to be announced in 2005.

Interest rates lower

Rates actually lowered, a great opportunity for buyers to keep their payments lower. In case you didn't know, rates vary according to local markets, so if you see a rate quoted on a website it might actually be a national average, not what you would get locally. In Los Angeles area, you can expect a 30-year fixed conforming loan (under $333,700) to be around 6.11% with about .5% in points. But if you have a FICO score over 700, you might find a 30-year fixed at 5.875% at 0 points. See this for a report.

Remodeling? Remember Your Neighbors Too

While you may be excited about your upcoming changes, it's important to remember that your neighbors may have a different experience. Whether you live in a traditional neighborhood or a more closely knit homeowner association, remodelling activity can disturb everyone due to trucks, contractors coming and going, or noise from power tools. Keep your neighbors informed and let them know how long your project is supposed to last. Click here for more about how to show appreciation for their patience. Also, keep in mind that your municipality may have regulations about construction and you should check with your city and/or county before you begin and make sure your contractors are advised as well. Read more about Long Beach's city code.

Interest Rates Up Over Time

Rates increased yesterday by 1/4 point, but mortgage rates actually went down a little because the banks had already anticipated the Federal Reserve's increase. According to this article on Bloomberg.com and other sources in the industry, rates will continue to rise, but will be gradual over time. How much time? Only the economy and time will tell.