MAY MARKET NEWS!
Another 4 year high for the month of April. We are at an average sales price of $547,920. Home values are predicted to still go up slightly higher. Many of the buyers we are working with are very worried about not being able to find a property that fits their needs at these higher prices. If you’re in that position, don’t be too concerned. Are we at the top of the market? It’s hard to say but what we can conclude is that home values cannot sky rocket too much higher without there being some kind of adjustment. The truth is that most buyers will not be able to qualify for higher prices and if rates continue to rise, it won’t be possible for home to continue to shoot up.
A recent report, predicted that by the end of the year home values will rise another 3 percent. Should you be concerned about that? One a $550,000 home 3% is $16,500 which would put a home that is currently worth $550,000 at $565,500 by the end of the year. That could be concerning to some people but when you really think about it, if you are financing the property you are financing that $16,500 over a 30 year period (If you get a 30 year fixed loan). That doesn’t make anyone’s payment skyrocket upward to unaffordable payments. The difference in monthly payment would be $60-$70 a month. You see it’s not the end of the world. Maybe skip out on your starbucks drinks for the month and you’ll have enough money to make the payment.
The most important thing as always is your monthly budget. Can you afford a payment at these prices. If the answer is no, then of course don’t pull the trigger and buy a home especially if it’s going to stretch you too much financially. If the answer is yes after speaking with a lender, then make the effort to purchase. As always we’d love to help you and give you solid advice if you’re looking to buy or sell real estate…
MAY MARKET NEWS!
Another 4 year high for the month of April. We are at an average sales price of $547,920. Home values are predicted to still go up slightly higher. Many of the buyers we are working with are very worried about not being able to find a property that fits their needs at these higher prices. If you’re in that position, don’t be too concerned. Are we at the top of the market? It’s hard to say but what we can conclude is that home values cannot sky rocket too much higher without there being some kind of adjustment. The truth is that most buyers will not be able to qualify for higher prices and if rates continue to rise, it won’t be possible for home to continue to shoot up.
A recent report, predicted that by the end of the year home values will rise another 3 percent. Should you be concerned about that? One a $550,000 home 3% is $16,500 which would put a home that is currently worth $550,000 at $565,500 by the end of the year. That could be concerning to some people but when you really think about it, if you are financing the property you are financing that $16,500 over a 30 year period (If you get a 30 year fixed loan). That doesn’t make anyone’s payment skyrocket upward to unaffordable payments. The difference in monthly payment would be $60-$70 a month. You see it’s not the end of the world. Maybe skip out on your starbucks drinks for the month and you’ll have enough money to make the payment.
The most important thing as always is your monthly budget. Can you afford a payment at these prices. If the answer is no, then of course don’t pull the trigger and buy a home especially if it’s going to stretch you too much financially. If the answer is yes after speaking with a lender, then make the effort to purchase. As always we’d love to help you and give you solid advice if you’re looking to buy or sell real estate…