According to the Pew Research Center, since the “Great Recession” began more than 30 months ago, more than half of the adults in the US labor force have experienced a work related hardship! This may have taken the form of unemployment, a cut in pay, a reduction in hours or an involuntary move to part-time work. In addition, the wealth of the average American household has declined by an estimated 20%, the deepest such decline since World War II. Approximately half of all Americans say they are in worse financial shape than before the recession began. Conversely, only 21% say they are in better financial shape!
Is there light at the end of the tunnel? More than six-in-ten survey respondents (62%) say they expect their personal financial situation to improve in the coming year—the most optimistic reading on this question since before the recession began. Likewise, about six-in-ten (61%) say they believe the damage the recession has inflicted on the U.S. economy will prove to be temporary rather than permanent. It won’t be a fast recovery for home values, however. About half of all those surveyed believe that it will take 3 to 5 years for their home’s value to return to pre-recession levels. Another 40% believe that it take six years or longer to recover.
So, it’s time to lay in sound maintenance practices and financial practices for your home. Don’t get behind on maintaining your home. Years of deferred maintenance can add up to a huge repair bill when you go to sell your home after values recover. If you can, refinance your mortgage to take advantage of the historically low interest rates available today. If your home’s value is less than your mortgage, there may be help for you too! The US Government has rolled out HAMP (Home Affordable Modification Program) and HAFA (Home Affordable Foreclosure Alternatives) for which you may qualify.
See the complete report from the Pew Research Center here: http://pewsocialtrends.org/pubs/759/how-the-great-recession-has-changed-life-in-america
Rowland Fellows
Leave a Reply