Posted On: October 11, 2019
With an increase of strength in the housing market, the concern of an economic slowdown seems unlikely. Recent housing reports showing that with lower mortgage rates, there is an evening out of buyer demand in the fall months.
Sam Khater, Freddie Mac’s chief economist, had the following to say;
“Despite fears of an economic slowdown, the housing market continues to be a bright spot in the economy. While mortgage rates have ticked up in recent weeks, they remain lower than they were a year ago, which will help boost sales headed into the fall.”
Freddie’s forecast suggests a steady housing market in our slowing economy. More new homes are entering the market too; we’ve seen a surge of housing starts and building permits up to over a 12-year high.
In more good news for buyers, Freddie Mac economists predict that the mortgage rate of 30-year fixed-rates will not go over 4% for the rest of 2019.
Going into next year, they are predicting even more growth. Home sales this year should end slightly higher than 5.98 million, but come next year we could see over 6.03 million houses sold.
Frank Martell, President and CEO of CoreLogic, had this to say about why he thinks it could grow;
“The millennial cohort has now entered the housing market in force and is already driving major changes in buying and selling patterns. Almost half of the millennials over 30 years old have bought a house in the last three years. These folks are increasingly looking to move out of urban centers in favor of the suburbs, which offers more privacy and a greener environment. Perhaps most significantly, almost 80% of all millennials are confident they will become homeowners in the future.”
If you’re a seller struggling to get their house off the growing market, consider these few tips:
Back To Basics: Eliminate clutter, repair the obvious flaws.
Redo Room Staging: Move furniture, make rooms look more spacious.
Add Some Color: Make things look visually pleasing.
Change the property Description: Spice up normal sentences with something more well worded.
Adjust The Price: You could be shooting too high on your price, and maybe it’s time to reconsider how much your house is truly worth.
When you’re ready to take the next steps forward, contact your local SETCO Representative. We work with all parties in a closing transaction, and we understand that it means something different to each of them. Likewise, we recognize that each person has different requirements, and we’ve designed our services accordingly.