What does the future hold for the housing industry?

We have been through quite the turmoil lately, with skyrocketing prices and higher interest rates and of course bidding wars. Buyers were spoiled by super low interest rates. By historic standards, our current rates are still cheap. What the experts are saying is that right now is a great time to buy! Reason being that , while still low, inventories are slightly up. It seems that the predictions are that housing prices will continue to rise, just not at the frantic pace that they were rising. Rents continue to rise rapidly, so this is a very bad time for renters unless they move forward to invest in a home purchase. New listings have been coming up as usual. The difference is that instead of being on the market for 60-90 days, they disappear in a day or 2. That’s why inventory is low. In new construction, according to the National Association of Realtors, across the country, we’re 5 million units short of where we usually are. Buyers, it is more important than ever to get a mortgage letter from a credible local lender. If your offer is going up against others, as it probably will be, the seller with their listing agent Will lean heavily towards an offer is backed up by a credible lender. Obviously, a cash offer trumps them all. According to NAR for the first time in history, across the country, 24% of all residential home purchases were cash. Most likely, it because home owners¬† have accumulated so much equity that they can pay cash, especially if they’re downsizing. Real Estate is still the best investment out there, as far as growth potential.

 

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