Happy New Year!
2024 Housing Forecast: I just read a housing forecast for this year, and it is promising. A quick look back at 2023 we have Year over year prices up 6.4% as of November and it looks like the full year will be between 6.8 and 7% once the data is released for December. For this year the appreciation forecast is for housing prices to go up another 4.5-5% in value with 15-20% more transactions in 2024 VS 2023. (With less Agents in the business and fewer LO’s that should be good for all of us) For interest rates the forecast is also good and we anticipate seeing a range from the Mid 5s to the high 6s for the year. Under 6 is an important number. The “experts” feel that a sub 6% mortgage rate will get the move up buyers off the fence which will add some
MUCH-needed inventory. The Odds makers on Wall Street are forecasting a 94% chance of a rate cut in May and 100% in June, with a likely 4 or more cuts to
the Fed Funds rate by the end of the year.
Rates? After a huge improvement in Mid-December Mortgage rates have been in a very tight range, looking at it on a chart it is almost flat. We did lose just a little bit of ground last week, but rates ended the week only slightly worse than the previous week and the market this week has started off in positive territory with no real data to chew on until Thursday’s CPI report and Friday’s PPI. Thursday’s number will be the most important one, and if the trend continues as we have seen it in the past 6 months it should be supportive of lower rates. (*CPI is the Consumer price index showing inflation at the consumer level)
Housing Prices: Supply and demand continue to support housing. Not only are we living with limited inventory (as we are all painfully aware) but household formations have far outpaced builder completions. In 9 of the past 10 years household formations have outpaced builder output significantly. There just aren’t enough homes available in the country to meet the need.
If you are looking to purchase or refinance a home in NJ, please give me a call, I can also help you in all 50 states, CMG is licensed throughout the country.
Robert Rauf
Mortgage Loan Originator NMLS# 248937
http://www.RobertRauf.com
or my blog: http://activerain.com/blogs/rrauf
Office: (732)908-4868 Cell (732)740-0175
RRauf@CMGhomeloans.com
www.RobertRauf.com
Since 1987 I have been helping my clients fulfill their dream of home ownership! CMG Home Loans is located at 222 Commons Way Toms River, NJ 08755. NMLS #1820. Visit www.RobertRauf.com for more information. NJ Mortgages, New Jersey Mortgages, Mortgages in NJ, mortgage in New Jersey, Mortgages in New Jersey, Toms River NJ 08753, Toms River NJ 08755, Brick NJ 08723, Brick NJ 08724 Mortgage in Ocean County NJ, Mortgage in Monmouth County NJ, Jackson NJ 08527, Howell NJ 07731, Lacey 08731 08734, Beachwood 08722 Bayville 08721,
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