Existing Home Sales on the Rise! 

 Despite all the negative housing market news, some people have to move or just want to and while there's good reason to proceed with caution, there's also good reason to be in this market, now! 

According to a March report by the National Association of REALTORS (NAR), existing homes sales actually increased in February. Sales activity rose 2.9 percent to a seasonally adjusted annual rate of 5.03 million units. Existing-home sales include single family homes, townhomes, condos, and co-ops.

According to Lawrence Yunn, NAR chief economist, these events are promising. "Buyers taking advantage of higher loan limits for both FHA and conventional mortgages will unleash some pent-up demand. As inventories are drawn down, prices in many markets should go positive later this year" he said. "We're not expecting a notable gain in existing-home sales until the second half of this year, but the improvement is another sign that the market is stabilizing," Yunn said.

Total housing inventory fell 3 percent in February to 4.03 million existing homes for sale. This representing a 9.6-month supply, down from a 10.2-month supply the month before.

Freddie Mac reported the national average 30-year, conventional, fixed-rate mortgage rose to 5.92 percent in February, which is still down from the 6.29 percent reported in February 2007.

HUD Increases FHA Loan Limits!

The US Department of Housing and Urban Development (HUD) recently announced an increase in FHA loan limits, which were mandated by the Economic Stimulus Act. The new limits are based on median home prices throughout the United States.

These new changes create a lot of opportunity for home owners and home buyers, and promotes access to lower cost loans. To find out what the limit is in your county, visit http://www.fhaoutreach.com/.