The year 2013 can be categorized by a significant
turnaround in the housing market across the nation.
While lack of homes available for sale constrained
home sales in many markets across California, it
contributed to a substantial increase in home prices.
Existing single family sales for 2013 are predicted to
fall 2.1 percent short of 2012 sales, yet median home
prices are expected to show a 28 percent
improvement over 2012-- with the median reaching
$408,600. Please remember every market has its own market
including VALLEJO REAL ESTATE.
The increase in home prices coupled with a
percentage point increase in mortgage interest rates
led to a sharp decrease in affordability. Despite
decreased affordability, current market conditions
still warrant buying a home sooner rather than later.
First, interest rates are still at historical lows but are
poised to increase in 2014. Over the past year,
mortgage interest rates increased by about one
percentage point, from about 3.5 percent to 4.5
percent. On average, a half percentage point
fluctuation in the mortgage rate changes the
payment by $100 per month on a median priced
home of $415,770. Most of the predictions for 2014
put the 30-year fixed rate mortgage at 5.3 percent
The median price of Vallejo homes are at around $220,000
and inventory for Vallejo homes as of today is 137 homes.
If you thinking of buying in Vallejo or areas near Vallejo
give Tim Garton a call 707-315-5555. A Vallejo REMAX REALTOR
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