There are plenty of reasons to buy a home now
Interest rates, rising home rates, and a shrinking inventory are all reasons why 2017 is so crucial to home buyers. We all know by now that those record low-interest rates cannot last forever. With two more interest rate hikes on the horizon, this is a good sign for our economy, even though it means goodbye to very low-interest rates. If you have not told potential buyers that the feds plan on increasing the interest rates by at least June, tell them now!
Home inventory is getting thin.
The past two years of declining unemployment has meant a major benefit to lenders, "approvals". With most home loans requiring at least two years of solid employment, a steady economy has meant that lenders can qualify more buyers each and every month. That coupled with the rising workforce wages that companies are giving these past few months and more people can purchase affordable homes with a low-interest rate. That means more affordable homes are being bought up in record numbers by both investors and first time home buyers. Another reason why 2017 is a crucial year to buy, inventory is running low.
Good news home owners, your investment just gained some value.
More qualified buyers. A shrinking inventory. Lower interest rates. All this news means home values are also bound to rise. As homes gain in value, more owners are contemplating selling with some equity and taking advantage of the low-interest rates, and again the housing inventory continues to shrink even more. After years of low home values, many homeowners have been upside down or saw little reason to sell.
Again, this is good news for the economy and will be a solid year of home sales.
For more information on Home Loan options and local Real Estate inventory visit horizonlendingservices.com