Home buying trends are constantly on the shift. So far, 2014 has been named a great year for buying a home for yourself and your family. Here at Frankel Realty, we have seen the real estate market rise and fall over the many years that we have been in business. With the constantly changing prices, standards of lending and of course, mortgage rates, the decision to own a house needs serious consideration with regard to market and available listings.
The Current Market
Home prices started a steady climb in the second quarter of 2011. Since then, it has been on the rise. It is the belief of many forecasters that property prices will continue to rise throughout the course of this year. When you consider the numbers, a homebuyer in 2014 will benefit from several factors to help owners find their dream home. For many who wish to sell their properties, there is plenty of hope for great returns of investments in the future.
Mortgage rates are currently on the rise. In comparison to the rates from December 2012, the rates experienced a rise of above 1% by December 2013. Experts predict that these rates will continue to rise all the way through the upcoming years. With no expectations for measurable decreases in these rates, buying now seems to be the wisest choice to avoid having to deal with higher interest rates and higher prices. While we are on the subject of mortgages, we simply cannot ignore the new rules and regulations that were put into effect recently. New policies tend to be more beneficial to lenders as opposed to borrowers. In other words, borrowers will have to work extra hard just to qualify for a loan. With the rising interest rates, lenders are extra cautious about making sure that their borrowers are able to pay back their loans.
The toughened up lending standards after the mortgage crisis of 2008 is often considered to be responsible for more and more people turning towards renting. As per a statement issued by the Census Bureau, the U.S. is seeing a record low homeownership rate in 15 years. While this means high prices, in certain areas, it results in greater supply in comparison to demand. For buyers, this is a good thing if they manage to choose the right neighborhoods with plenty of properties to choose from. While buyers are more scrutinizing of the rates and the prices, the sellers are more motivated to sell.
In conclusion, 2014 is a great year to buy your dream home. Here, at Frankel Realty, we are able to assist you through the process of purchasing the perfect house to suit your lifestyle requirements and price range. With over 30 years of experience in the real estate industry, we have seen trends come and go while the prices fluctuate. As mentioned earlier, buying a house is just as much about picking the perfect time as making sure that your needs are met. Contact Frankel Realty on (561) 427-2154 for real estate advice and professional service.