Happy Spring! It’s that time of year again, spring has sprung, flowers are blooming like crazy and people are in full spring cleaning mode.
As the renewal period of nature kicks in, more and more people are ready to make changes in their lives as well. For many, spring cleaning means making some moves as they realize they don’t have enough space or have more space than needed. Whatever the reason, whether it’s downsizing for empty nesters or upgrading for growing families, there’s lots of activity in the real estate market.
Although the Fed raised interest rates and rates are still expected to go up several times by the end of the year, homes are still selling faster than ever. In March alone, the percentage of home sales increased by 9%. Just how long this upsurge will last is the question on everyone’s mind.
This week, the average rate of a 30-year fixed mortgage was the lowest of the year. With an increase on the horizon, many first time buyers and current homeowners looking for a change are jumping at the opportunity to lock in a good rate. The market continues to be volatile, but one thing is for sure, rates will go up as it becomes more expensive for banks to borrow money.
What does all this mean for you?
If you’ve been considering selling your home, now is a great time. You’ll be able to secure the highest sales price possible since inventory remains low and demand continues to increase in anticipation of an increased rate. With a good return on your investment, you’ll be able to make another purchase with ease and take advantage of the low rate while it’s still available.
If you’re a new buyer who’s been waiting or struggling to get into the market, you’re in luck! Although demand is high, your ability to lock in a low rate gives you more opportunity to consider different price points that you might not be able to afford when the rate is higher. By jumping into the market now, you’ll also avoid the busy summer season that may knock you out of the running as it’s coupled with an expected increase in the rate.
Want to learn more about how these changes have impacted the price of your home or your ability to make your first purchase? I’m always available to give you an in depth analysis that will help you stay informed so you can make the best decision regarding your real estate needs. Please call or email me for more information.