The real estate market has changed markedly in recent months, with April showing home prices increasing 12.1% over April 2012, and then having a similar increase again in July. These are the largest gains in pricing since February 2006. Prices are on a nice upward trend, and the inventory is less than it was even just a few months ago. The upward trend is especially nice to hear for homeowners that have had negative equity for the past several years.
With the lower inventory in today’s fast paced market, buyers have to move fast when they find something they like, because there are now fewer homes on the market and the competition is fierce. I’ve had many people in recent months want to ‘think’ about whether to make an offer, but before they made their decision, the house they wanted was already under contract. I can honestly tell a client when they should jump and not wait, but it is till their choice, and in this market that could be a bad mistake. I’m not one to pressure my clients into making a decision, but these days, when I recommend ‘don’t wait’ unfortunately I’ve been right every time!
However, this is a great time to be buying a home, as prices are sure to continue increasing as the demand for housing remains and strengthens.
The interest rates are usually in the 4% range, and a little birdie told me that they should be staying in this range for a while. Of course, I wish I had a crystal ball to confirm that, but I still think this is a very good guess! This is another good reason to buy now, before the rates get any higher.
If you have thought about re-financing and have not done so, now would also be a good time to look into doing so.
And what about selling? That can be a complicated answer, depending on your current value, mortgage, etc. If you are considering selling your home, please feel free to give me a call. Once we chat, and I do a market analysis for your home, I will be able to give you the best options for your situation.
I will continue to keep current market information available, and hope this has been helpful!