Home builders are capitalizing on the uptick in multigenerational family living arrangements at a time when new-home development is in a slump. Also, new data shows why Generation X has taken the brunt of the housing downturn.
And, a Friday Five update wouldn’t be complete without this week’s buzz from Capitol Hill: Lawmakers came to an agreement on restoring the Federal Housing Administration loan limits, but they only approved another short-term extension of the National Flood Insurance Program.
Bloomberg Businessweek: Home Builders Target In-Laws and Dogs as Extended Families Grow
Kevin Barnes figures buying a newly built home saved him money. That’s because he chose a model with a second master bedroom for his mother-in-law. The Barnes residence is part of a growing line of new homes marketed to multigenerational families, a category that increased by 30% from 2000 to 2010, according to the U.S. Census Bureau.
For millions of younger Americans, this long (housing) price slump will have a lasting financial impact. Economists are finding the slump is disproportionately hurting the so-called Generation X — people born between 1965 and 1982. Here’s why they are being hurt more than Baby Boomers, born between 1946 and 1964.
Omaha World-Herald: Buffett: Housing will Revive Economy
U.S. housing remains in a “depression,” Omaha investor Warren Buffett said Monday, but the rest of the economy is advancing enough that when housing recovers, employment will jump and the overall economy will grow significantly.
HouseLogic: Congress Restores FHA Loan Limits
Congress agreed to restore to previous levels the maximum loan size you can get when you use the Federal Housing Administration’s mortgage program to buy a home or refinance your current mortgage in high-cost real estate markets. The change will help make mortgages more affordable and accessible for middle-class families.
Insurance Journal: Flood Insurance Program Extended Until Dec. 16
Congress has approved yet another resolution to fund parts of the federal government, including the nation’s flood insurance program on a short-term basis. This time the funding runs until Dec. 16.