What a wild ride in the Real Estate/Mortgage world we have had thus far this year! We have had a record year so far with regard to LOW interest rates. At the same time, we also saw one the fastest rises in interest rates in the last several years in just over a 3 month period!
If you have been in the market for a new home, or closed on a home loan in the last 10 months, You know that rates have been as low as 3.25% on 30 yr. mortgages, and as high as 5.125%. That is a HUGE swing in rates. In the last couple of weeks, however, mortgage rates have been making a steady trek back to more favorable levels! The Federal Reserve Chairman (Bernanke) recently stated that they will continue to purchase bonds.. This is great news for mortgage rates.
As of this morning. 30 yr. Fixed rates for conventional mortgages were back into the low 4% range with lenders across America. Government loans (FHA/VA) are even lower...!
After witnessing the housing bubble ‘pop’ just a few years ago, many would be buyers may be hesitant to pull the trigger. Today, we want to explain that the greatest risk a buyer can take right now is actually waiting to buy a home.
We realize that every purchaser wants to be able to get the best deal. They want a great price and the lowest mortgage interest rate possible because those to items together will determine the monthly cost their family will pay. Let’s look at each one:
Are home prices rising?
Just last week, the Case Shiller Pricing Index was released. The index revealed that U.S. home prices increased by 10.2% over the last twelve months. Last month, the Home Price Expectation Survey was released predicting that home values would increase by at least an additional 3.5% for each of the next five years.
If you were waiting for the absolute bottom of the home price declines, you already missed it.
Are interest rates rising?
According to Freddie Mac’s Weekly Primary Mortgage Market Survey, the 30 year mortgage rate shot up to 3.81% last week – the highest level in over a year. This is an increase of a half of a percentage point in the last six months. And the Mortgage Bankers Association, Fannie Mae and the National Association of Realtors all predict that rates will continue rise over the next eighteen months.
If the right thing for you and your family is to purchase a home this year, buying sooner rather than later could lead to substantial savings.
Keep it coming, Im up for the challenge!
Article from Real Estate Rama
Austin-area home sales up 26 percent in February, median price up seven percent
March 20, 2013by RealEstateRama
Austin Board of REALTORS® releases real estate statistics for February 2013
AUSTIN, TX – March 20, 2013 – (RealEstateRama) — The Austin real estate market continued to gain steam in February, according to the Multiple Listing Service (MLS) report released today by the Austin Board of REALTORS® (ABoR). As cited in the report, the volume of home sales in Austin outpaced last year significantly and the price for Austin-area homes continued to rise.
According to the report, 1,626 single-family homes were sold in the Austin area in February 2013, which is 26 percent more than February 2012, and the total dollar volume of single-family properties sold was $430,324,152, or 32 percent higher than the same month last year.
Cathy Coneway, 2013 Chairman of the Austin Board of REALTORS®, explained, “Strong demand for Austin homes continues, but the number of listings on the market remains consistent. This has led to steady increases in price while keeping housing inventory at record lows.”
In February 2013, the median price for Austin-area homes increased to $208,500, which is seven percent more than the same month in 2012. Additionally, the market featured 2.6 months of inventory in February 2013, which is 1.6 months less than February 2012.
The market also featured one percent more new listings, 25 percent fewer active listings and 15 percent more pending sales in February 2013 compared to the prior year. On average, homes spent 71 days on the market, which is a decrease of 15 days from one year prior.
February 2013 Statistics
1,626 – Single-family homes sold, 26 percent more than February 2012.
$208,500 – Median price for single-family homes, seven percent more than February 2012.
71 – Average number of days single-family homes spent on the market, 15 days fewer than February 2012.
2,574 – New single-family home listings on the market, one percent more than February 2012.
5,121 – Active single-family home listings on the market, 25 percent fewer than February 2012.
2,223 – Pending sales for single-family homes, 15 percent more than February 2012.
2.6 – Months of inventory* of single-family homes, 1.6 months less than February 2012.
$430,324,152 – Total dollar volume of single-family properties sold.
Way back then....
My Intro in 2007:
I love my family!
My husband Rod and my kids;Rodney 23,acquired Kylee through marriage to Rodney and she is the best daughter in law ever! Elyse 22, Kyria 19, Nikka 16, Joseph 12, Luke 9. They all are my favorite!