US householdsâ€™ income shows biggest jump since recession, no change in income inequality
“(Bloomberg) – Fresh yearly data from the U.S. Census Bureau showed median, inflation-adjusted household income rose 5.2 percent to $56,516 in 2015, the highest level since $57,423 in 2007, when the recession began. Gains were spread across the income spectrum and by race, while womenâ€™s earnings inched closer toÂ menâ€™s.”
Positive changes in projected household incomes, and increases in consumer confidence will influence the Federal Reserve whenÂ they meet again to consider increases in the interest rate.
The Presidential election will likely influence when interest rates change, but rest assured, change is coming. This is important toÂ those of us in real estate because rate changes influence a buyer’s affordability. One mortgage rate point is equivalent to approximately 10% change in affordability or purchasing power. This impacts both buyers and sellers.
Please contact us if we can assist you in understanding market variations and current housing trends.
Yours truly, Ann & John