Is buying or selling a home on your mind this year? How about refinancing? Before you get the ball rolling, it’s best to prepare.
If you’re selling, you’ll want to know about competition and if you’ll have leverage in a low-inventory market. If you’re looking to buy or refinance, favorable interest rates will work to your advantage.
Check out the latest stats on the housing market:
Continuing Low Rates
This year continues to follow the trend of lower interest rates that persisted throughout 2019. Conditions are great for refinancing and buying a new home. It’s a prime time for both homeowners and homebuyers to take advantage of these rates and save money.
Decreasing Housing Supply
2020’s number of existing homes is projected to fall and even “evaporate,” according to Realtor.com. This may make it difficult for buyers to find a home that suits their needs. The low inventory will likely lead to steep competition, increasing demand and setting the stage for a seller’s market.
Experts predict that U.S. home prices will even out this year, possibly increasing by less than 1%. Prices are also predicted to decrease in more than a quarter of the 100 largest metropolitan areas in the U.S.
Building New Inventory
Due to the lower existing home inventory, Fannie Mae predicts that 1 million new builds will hit the market by 2021. Housing starts are expected to increase by 10% in 2020 alone, which is a pretty good sign for buyers.
Do you have big plans in 2020? Reach out for more information on the housing market.