HOMEOWNERS'RISING EQUITY SHOULD CAUSE MARKET TO STABILIZE

Rising equity will always have a stabilizing effect, because it allows all segments and price ranges in the market to make independent decisions regarding their home, which ultimately cause more interaction between price ranges and people move up or down in size and price according to their need of growing family, empty nesters, and retirement.  Equity is a very liberating quality in homeowner economics.  And although credit standards tightened immensely after the recession, there are now emerging more loan programs, the resurgence of some old programs and some revamps even in government lending such as the lowering of the FHA mortgage insurance by almost half a point.  On a median priced home, that can be over $200 a month or even more.  That increases a buyers, "buying power", tremendously.  All who are looking to buy should speak with a lender to find out exactly how much you qualify for...buyers may be surprised by their purchasing powers.  Sellers are also in a great position.  At last it would seem we may be trending to a totally equitable market.  It has been sometime.  Surely the results will be an encouraging factor in our economy for the year ahead.