In January, it was reported that the 2018 National Housing Forecast indicated promising news for both buyers and sellers in the year ahead. When looking to purchase or sell a home in this current market, there are various timely facts to consider:
Low interest rates
The standard 30-year mortgage currently hovers at just above 4%, which is still historically low. Realtor.com® reports that rates are projected to steadily climb by the end of 2018.
Demand remains high with tight inventory
It’s still a seller’s market in many parts of the country with Realtor.com reporting that unsold inventory is at a 3.2-month supply at the current sales pace, which is the lowest level since the National Association of Realtors® (NAR) began tracking in 1999. It’s not surprising then that anxious home buyers are driving-up prices in demand for housing.
Steadily increasing home prices
Realtor.com states that median existing-home price for all housing types in December was up 5.8 percent from December 2016. The price increase marks the 70th straight month of year-over-year gains. For homebuyers sitting on the fence, perhaps it’s time to jump-in before prices and interest rates possibly make entering the market more challenging. Homebuyers should come prepared with pre-approved financing and the ability to make a quick purchase decision.
Consumer confidence is high
Consumer confidence hit its highest in 17 years this past November, according to the Conference Board’s index released last month This is a result of low unemployment and stock market spikes that are anticipated to continue strengthening the economic foundation in 2018.