While the news is certainly not all good, based on John Burns Real Estate Consulting’s (JBRC) latest “report card” for the housing industry, released this week by the consulting firm that grades various aspects of the housing market and industry each month, the low grades spell great news for renters who are in a position to buy.

“Affordability is so good that owning the median-price home is now less expensive than renting the average apartment,” said the JBRC report. Given that many market experts predict massive inflation in the next 5 to 10 years, this news quite possibly could spur on another wave of buyers who are eager to get out of “variable-rate rents” and into a fixed mortgage payment that cannot rise with the times.

Of course, many renters will need to stay in their rentals, at least until their credit recovers from recent foreclosures and preforeclosures. However, with the latest alterations to the lending regulations by Fannie Mae, some of the first to lose their homes at the beginning of the foreclosure crisis will actually be eligible for new loans this year. Whether or not you think this is a wise lending decision, it will certainly free up the buyers out there to start looking for properties again.

At the very least, if you are in a home with a fixed mortgage, give yourself a pat on the back. You can feel good that you have “inflation-proofed” your housing payment. Even if your home is not currently in a market wherein you cannot presently sell for a huge profit, you have a fixed payment in world where housing payments are spiraling upward.

Thanks for reading the Bryan Ellis Real Estate Letter.  Also note – we have a very special FREE training this weekend for those of you who would like to know how INDIVIDUAL investors can capitalize on the business of buying distressed properties in BULK… this strategy even includes 100% long-term financing at very attractive rates, and does NOT rely on your personal credit history whatsoever.  Check out the training here.