We’re now into mid-May, which makes it time to recap our market’s performance this spring.
Our spring market has turned out to be a roaring success for buyers and sellers alike due to increased stability. Last year, we were firmly a seller’s market, so the opportunities for buyers to get their offers in at lower interest rates in 2019’s spring market has been a nice shake-up.
Homes in a price range below $500,000 sold in little time, while homes above that mark—namely homes priced higher than $600,000—were taking on average 30 days to sell. Much of that has to do with the FHA loan limits for San Joaquin and Stanislaus County.
In December of this past year, a slowdown began to emerge as a result of rising interest rates that eventually topped out at about 5%. After some reevaluating, the Fed announced a scaleback that is set to be in effect for the next six weeks.
This is great news because low rates serve to strengthen the economy and widen opportunities for buyers to make a purchase before rates start to trend upward again.
We’ve discussed that loan limits are going up for both conventional and FHA products, but we haven’t given much attention to those of the VA variety. There are some exceptional VA loans out there, and we at Home Buyers Realty love every opportunity we have to work with veterans.
If you’d like to know how you’ll fare with the current state of our market, please give us a call. We’d love to have a conversation with you and come up with a plan that’s tailor-made for your specific circumstances and needs. We look forward to hearing from you!