This is a great start to the spring market. Despite all predictions of raising interest rates throughout 2019, rates for 30-year fixed mortgages are currently at their lowest in 14 months…coming in at around 4.04%. Just about 6 months ago we were at almost 5% so this is a nice change for homebuyers who want to get an early start (and a great rate) in the spring market. There is no way to predict if they will stay low throughout the year or creep back up but it is good motivation for buyers wanting to get out there and find their dream home.
Some have whispered that we are headed towards another housing crash but most experts say the evidence to support that just isn't there. Looking at home prices, mortgage standard and foreclosure rates as metrics, we are nowhere near where we were back in 2008. Home prices are continuing to appreciate, just at a slower rate than in the previous year. Mortgage standards are loosening only slightly which is helpful for first time homebuyers but still not as lenient as they were leading up to the crash. And foreclosure rates are at the lowest they have been since 1996! This is all great news.
There are plenty of eager buyers looking for homes, especially if they didn't find a dream home last year. That $300K and under price point is going to continue to be strong leading into 2019. With many buyers looking in this price point and inventory low, this spring is going to be a great time to get your home on the market if you are considering selling this year.
As always, if you or someone you know is considering buying or selling this year...don't hesitate to reach out to me and my team to discuss your options.