Judith Sutton ABR CRS IDS PMN ASP IAHSP SRES GREEN
Judy@JudithSutton.com 908 803-0472
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WILL HOME PRICES RISE THIS YEAR?
If you are thinking of making a move this year, there are two housing market factors that are probably on your mind: home prices and mortgage rates. You are probably wondering what is going to happen next. And if it is worth it to move now, or better to wait it out.
The only thing you can really do is make the best decision you can, based on the latest information available. So, here is what experts are saying about both prices and rates.
What’s Next for Home Prices?
One reliable place you can turn to for information on home price forecasts is the Home Price Expectations Survey from Fannie Mae – a survey of over one hundred economists, real estate experts, and investment and market strategists.
According to the most recent release, experts are projecting home prices will continue to rise at least through 2028.
While the percent of appreciation varies year-to-year, this survey says we will see prices rise (not fall) for at least the next 5 years, and at a much more normal pace.
What does that mean for your move? If you buy now, your home will likely grow in value and you should gain equity in the years ahead. But, based on these forecasts, if you wait and prices continue to climb, the price of a home will only be higher later.
While the percent of appreciation varies year-to-year, this survey says we will see prices rise (not fall) for at least the next 5 years, and at a much more normal pace.
What does that mean for your move? If you buy now, your home will likely grow in value and you should gain equity in the years ahead. But, based on these forecasts, if you wait and prices continue to climb, the price of a home will only be higher later.
When Will Mortgage Rates Come Down?
This is the million-dollar question in the industry. And there is no easy way to answer it. That’s because there are a number of factors that are contributing to the volatile mortgage rate environment, we are currently in. The Deputy Chief Economist at First American, explains:
“Every month brings a new set of inflation and labor data that can influence the direction of mortgage rates. Ongoing inflation deceleration, a slowing economy and even geopolitical uncertainty can contribute to lower mortgage rates. Data that signals upside risk to inflation may result in higher rates.”
What happens next will depend on where each of those factors go. Experts are optimistic rates should still come down later this year, but acknowledge changing economic indicators will continue to have an impact. As a CNET article says:
“Though mortgage rates could still go down later in the year, housing market predictions change regularly in response to economic data, geopolitical events and more.”
So, if you are ready, willing, and able to afford a home right now, call me. We can discuss your options, fully, and choose the best decision for you going forward!
Make sure you have the latest information available on home prices and mortgage rate expectations. Together we can go over what the experts are saying so you can make an informed decision that is best for you.
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Judy@JudithSutton.com
COLDWELL BANKER...GUIDING PEOPLE HOME SINCE 1906
908 803-0472
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