We’re pleased to report that across the nation and regionally, the outlook for the housing market in 2013 is stronger than in years past. National home prices have been on the uptick for eight straight months and jumped 6.3 percent year-over-year in October – the largest increase since June 2006. So it is high time to practice and sell it asap. A recent article in The Fiscal Times discusses 10 interesting real estate trends that we’d like to share with you:
Home prices are rising – The slow pace of new Medical Construction and Design DC is pushing prices up, a pattern that will continue in 2013, according to several sources. A National Association of Realtors (NAR) report in October showed a 5.4 months’ inventory of homes for sale at the current pace, 22 percent below where it was a year ago and the lowest inventory since February 2006.
Rents are increasing – As more young people graduate from college and are looking for their first job, rental units will be tough to come by in popular metro areas. Average rents have been rising nationally at about 4 percent a year and in many metro areas by 7 to 9 percent, says Barry Habib, chief market strategist for mortgage lender Residential Finance Corporation.
Fewer foreclosure bargains – Over the past year, many lenders have been making a conscious effort to work with at-risk homeowners to help them stay in their homes instead of foreclosing.
More short sales – On November 1, the FHFA issued new rules on short sales for Fannie Mae and Freddie Mac. One key change includes reducing the documentation that borrowers have to show to demonstrate hardship. In addition, borrowers now aren’t necessarily required to pay the difference between what they owe on the mortgage and the final sales price.
More first-time homebuyers – Consumer confidence is rising and many people have enough job security to consider making the leap into homeownership.
Homes will be on the market for a shorter period of time – Good news for sellers who are putting a home on the market that is in good condition and in a desirable area. Find some options at: https://www.turnkeyres.com/sell-my-house-fast-miami/.
Higher home construction costs – While many people still choose to build a home rather than buying an existing home, the costs of doing so are on the rise thanks to increases in fuel costs, transportation costs, labor, and the like. Building materials like sheet rock, lumber and copper are also at near-record highs.
More property owners – Now is a great time to own and rent property, because there are a number of market sectors who will continue to rent despite having the ability to buy – recent college grads and seniors to name a few.
Rising mortgage rates – Mortgage rates have been low for some time, so there’s only one direction in which to move.
Easier credit standards – The mood in lending is improving, so it’s safe to assume that as more qualified buyers come into the market, lenders will compete to offer them loans.