The spring real estate market is right around the corner and, although many people tend to bide their time and wait for the hectic summer months before making the big decision to buy a home, new research done by NerdWallet using data from realtor.com suggests that the beginning of the year is actually a homebuyer’s prime time for three reasons: savings potential, decreased competition, and predicted higher rates. In this blog post, we break it down:
1. Home prices are still on the rise – we haven’t seen the ceiling yet. The bad new is that current values are higher than before the crash of 2007. According to realtor.com, housing experts predict a 2% to 3% increase before 2017 is over.
2. Inventory continues to steadily decline The 2016 market watched inventory shrink 10% from 2015, and most concur that this trend will continue in 2017. This means it’s safe to say that buyers who start looking now are less likely to get caught in a bidding war, as well as enjoy a smoother and potentially faster closing process.
3. Mortgage rates will continue a slow climb. However, take note: Rising mortgage rates aren’t always a deal breaker for buyers. The National Association of Realtors® calculated that a slight rise from 4.2% to 5% increases average monthly payments by $90—not necessarily a catastrophe. And, all things considered, these higher rates are still historically low.
As the window of opportunity begins to close for buyers looking to save on their investment, now is the time to take advantage of peak market conditions. Visit the new briggsfreeman.com to explore luxury homes currently listed throughout North Texas and beyond.
President and CEO Robbie Briggs independently owns and operates Briggs Freeman Sotheby’s International Realty with offices in Dallas, Fort Worth Cultural District, Fort Worth-Mira Vista, Uptown, Lakewood, Southlake, The North, Ranch and Land East, Ranch and Land West, and The Ballpark. Visit the Best Neighborhoods in DFW.