A Critical Point for Buyers: Real Estate Market Update for First Week of August 2024
We are quickly approaching a critical pivot point in the real estate market. The closer we get to a 6% interest rate and eventually fall below it...there will be millions of home buyers reentering the market. This creates competition, and competition puts an upward pressure on home prices.
PSA: This week, we put a buyer under contract with a 5.75% rate!
Question...do you want to buy your next home at the price you want or at the interest rate you want? Think about that...which one of those can you change at some point?
These are the moments in history when savvy investors make moves!
A Recent Forecast That May Impact Your Home Buying Decision:
Housing forecasts are always changing, but they can give us an idea of what to expect and help us make better decisions. Fannie Mae released their revised forecast last week, and there are two key takeaways.
FNMA only expects rates to drop another 0.25% by the end of the year and only 0.70% by the end of next year.
They also increased their home appreciation calculations to 6.6% in 2024 and 3% in 2025.
FNMA believes that over the next 18 months, home values will continue to climb, and interest rates won’t drop significantly.
Do you know the cost of waiting to buy a home? Give us a call and we can discuss a customized look ahead for you.
Mention "Boise Bohemian" when you call!
George Saroyan
951-451-2423
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