Tuesday, May 10, 2022 / by Raj Jaggi
Many people are wondering: will home prices fall this year? Whether you’re a potential homebuyer, seller, or both, the answer to this question matters for you. Let’s break down what’s happening with home prices, where experts say they’re headed, and how this impacts your homeownership goals.
What’s Happening with Home Prices?
Home prices have seen 121 consecutive months of year-over-year increases. CoreLogic says:
“Price appreciation averaged 15% for the full year of 2021, up from the 2020 full year average of 6%.”
So why are prices climbing so much? It’s because there are more buyers than there are homes for sale. This imbalance is expected to maintain that upward pressure on home prices because homes for sale are a hot commodity in today’s low-inventory housing market.
Where Do Experts Say Prices Will Go from Here?
Experts say the housing marke ...
Wednesday, April 27, 2022 / by Raj Jaggi
If you’re in the market to buy a home this season, stick with it. Homebuyers face challenges in any market, and today’s is no exception. But if you persevere, your decision to purchase a home will be worth the effort in the end. In fact, a recent survey from Bankrate shows homeownership is so powerful that:
“Nearly three in four homeowners say they would still buy their current home if they had it to do [sic] all over again.”
That means the results – owning a home and the benefits that come with it – outweigh the effort needed to achieve their goal. If you’re a homebuyer, let that provide you with the confidence to know the work you’re putting in today will pay off for years to come. Here are a few reasons to stick with your search and focus on the outcome.
Homeownership Contributes Significantly to Your Financial Well-Being
The National Association of Realtors (NAR) lists several motivati ...
Monday, April 18, 2022 / by Raj Jaggi
If you're considering selling your property, you may have heard that prices are rising, listings are selling quickly, and sellers are receiving several offers. But why are today's selling conditions so favorable? And what can you expect if you decide to relocate? Let's look at the data to see if we can answer both of those questions.
There are considerably more purchasers shopping for homes nowadays than there are sellers offering their properties. To help paint a picture of what this looks like, below are maps from the National Association of Realtors (NAR) depicting recent buyer and seller traffic:
On the left, notice how much darker the blues are. This demonstrates that today's buyer traffic is robust. The much lighter blues on the right, on the other hand, imply low or extremely weak seller traffic. In a word, there is far more demand for homes than there are available for purchase.
What Does This Mean for You?
You have a considerable advantage when you sell your home u ...
Monday, March 7, 2022 / by Raj Jaggi
Many economists predicted that home price growth will halt considerably in the fall of 2021, then decline further in 2022. That hasn't happened yet. All of the major pricing indices are showing double-digit price increases. Here's a look at their December reports on year-over-year pricing growth:
Federal Housing Finance Agency (FHFA): 17.6%
S&P Case-Shiller: 18.8%
Here's a graph showing the progression of all three indicators for each month of 2021 to demonstrate that they're not seeing any signs of weakening.
According to all three indicators, home price appreciation accelerated considerably from January to July last year, as shown in the graph above. Then, in August, it began to slow down as prices increased at a slower rate, but it did not decline. Many speculated that this would signal the start of a dramatic slowdown in-home price increase, but the data reveals that this was not the case. Instead, prices began to level out for a few months before acce; ...
Wednesday, March 2, 2022 / by Raj Jaggi
Some Key Points
Consider the various financial advantages of owning a house when determining whether to rent or buy.
As a renter, you contribute to your landlord's wealth while also dealing with escalating expenditures. You can create your own net worth as a homeowner and lock in your monthly payments for the life of your loan.
If you're considering your alternatives, keep in mind that buying a home comes with a lot of financial benefits. To learn more, contact a local real estate agent.