| Flagstaff Real Estate News 09/24/2010 Rent a Home or Buy a Home, both cases
Rent A Home Or Buy A Home : The Case For Both Sides
 Is it better to rent a home, or to buy one? The answer may not be as clear-cut as you think. In this balanced, 3-minute joint interview from NBC's The Today Show, you'll hear the case for both sides.
From the pro-renting part of the talk, there's valid points about the economic impact of low credit scores and/or no cash for downpayment, and the ongoing, annual cost of home maintenance — estimated at 2% of a home's value. Plus, renters have the ability to "follow a job" to a new town or region whereas a homeowner may be restricted, somewhat.
From the pro-purchase part, however, there's excellent points that were made, too:
- Mortgage rates are low and each 1% drop to rates equates to a 9% drop to home price
- Buyers can zero in on a particular area with particular schools or walkability, for example, better than renters
- A home can a piggybank over the long-term; a place for "forced savings" for families that want it
A Simple Explanation Of The Federal Reserve Statement (September 21, 2010 Edition)
 Today, in its 7th meeting of the year, the Federal Open Market Committee voted 9-to-1 to leave the Fed Funds Rate unchanged. The Fed Funds Rate remains at a historical low, within a Fed's target range of 0.000-0.250 percent.
In its press release, the FOMC said that the pace of economic recovery "has slowed" in recent months. Household spending is increasing but remains restrained by high levels of unemployment, falling home values, and restrictive credit. For the second straight month, the Federal Reserve showed less economic optimism as compared to the prior year's worth of FOMC statements dating back to June 2009. However, the Fed still expects growth to be "modest in the near-term".
This outlook is consistent with recent research showing that the recession is over, and that growth has resumed — albeit at a slower pace than what was originally expected.
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