August 31, 2012 - It’s a good thing, really it is… Recent national news articles, including our local newspaper, the Boston Globe, are indicating that the market is getting stronger. This means that Home Owners are feeling more comfortable about selling their homes, now that home value/prices have improved.
I know what you must be thinking, “How can having home prices improve for the Home Seller, also be good for the Home Buyer?” With very little inventory, homes that were (or are) for sale had inflated prices. When inventory is low, the demand is high and so are home prices. This can be good or bad for the seller. Homes with value, sell quickly and for a good price (sf homes, condos, multi-family homes). While other properties remained on market too long and when this happens, homes may sell below market value. Potentially impacting other property values in the surrounding area. When sellers fear their home may sell below their expectations, they wait and the home market pool shrinks.
We're seeing a correction in the market, home values began improving 12 the past 12 months. Homeowners encouraged by recent real estate news may want to sell their properties with renewed confidence. A seller generally has a few reasons for wanting to sell; down-sizing, moving or upgrading. With this renewed confidence, the pool of available homes should improve, making a positive impact on the economy and more importantly, your buyer selection.
You will find articles indicating that home values are expected to rise upwards of 10% in the coming year. Nothing is written in stone… Prices are subject solely to the U.S. economy, employment rate, investments, consumer confidence, but also the world economy. Presently, mortgage interest rates are low, the lowest I’ve seen in my lifetime…I’m 43.
Be careful, not to miss out on an a buying opportunity; it’s important to get out there and work closely with your REALTOR®, “That would be me!” :-D
Recent Mortgage Rates:
3.50% 30 year
3.50% 20 Year
2.99% 15 Year
3.25% 30 Year
4.125% 30 Year
2.99% 5/1 Jumbo ARM 3.375% 15 Year
4% 15/1 JUMBO ARM (Fixed for 15 years and then adjusts each year after)
(**Rates are subject to change based upon home buyers credit score and other factors)
National Association of REALTORS® - http://bit.ly/UgQtAX
Boston Business Journal - http://bit.ly/Pv4Nqn
Boston Globe - http://bo.st/OvLurV
Blog Post Written August 31st 2012
by: James Trano, REALTOR® - 857.209.6060
www.JamesTrano.com - www.ArlingtonRealEstate-JamesTrano.com