Monday, May 21, 2012
The number of homes that went under contract in April 2012 was up a whopping 29% compared to April of 2011. This is the now the fourth consecutive month of double digit increases in this category. The Supply of Inventory also continues to improve (now at 8.91) from its peak in July of 2011 (then at 11.53). The biggest reason I see as to why these stats are improving is due to the actions of sellers. Sellers are coming to grips with today’s pricing and as a result are either reducing their price to an amount that will attract buyers or they are removing their home from the market altogether. So more homes are either going under contract (which improves the Pending Sales numbers) or they are being removed from the market (which helps lower the Supply of Inventory).
What's The Going Rate?
Rates continue to stay below 4.0% on a 30 year note. However, the cost involved in obtaining a mortgage continues to go up. So far this hasn’t had a negative effect on buyer’s decisions. If rates start to go up though, the higher fees could start to have an impact. Take advantage of the rates while they are so good!
Thinking of Buying?
Even though mortgage costs are going up, there are some lower cost options available to certain borrowers, depending on where you are searching and how much income you make. If you are thinking of buying a home in the near future, the best thing you can do now is get pre-approved for a mortgage to see what type of loan you qualify for. Call me if you need a good referral for a lender. And if you are curious to know what is currently for sale, Click here to receive a Daily Email List of Homes for Sale as they Hit the Market!
Thinking of Selling?
As I have been sharing with you for some time now, there is good reason to believe that we haven’t reached the bottom of the housing downturn quite yet, even though the past few months have been better than we’ve seen in quite some time. The reason for concern?...Another wave of foreclosures that has yet to hit the market. It is expected to hit sometime this summer. If you are thinking about selling, now is a great time to beat this next wave and get your house sold before the foreclosure market picks up speed. Give me a call or Click here to request a Home Value Report.