The past year was very positive across the U.S. in terms of existing home sales, and increased home values. But, will this trend increase?
If you’re a current home owner, the good news is that the prices of existing homes are anticipated to increase by 4 percent, on average, in 2017. This is according to realtor.com, the official consumer website of the National Association of Realtors.
Yet, while the value of your home may be increasing, if you’re considering making a move any time soon, doing so sooner rather than later could be beneficial. One reason for this is because rising mortgage rates could deter potential buyers – especially if they’re short on down payment funds. Higher mortgage rates could also make the monthly payment on a home that much more – even if the increase is a small as a quarter- or a half-percentage point.
Looking ahead, it is expected that 2017 may be a year of increases in terms of both prices and sales – however, as compared to the growth that the U.S. housing market has seen over the past three years, the actual increases themselves going forward will likely be smaller. In other words, while you’ll still apt to see some upward movement in the value of your current home, it won’t rival that of what you’ve seen in the recent past.
That being said, the credit tightening that was seen immediately following the 2008 recession has loosened just a bit. This means that in some cases, lenders are now making more loans to those who have lower credit scores, and / or higher debt-to-income ratios.
If you’re considering making a move this year, Contact Us. We can provide you with a value analysis of your current home, as well as point you in the direction of available properties in your desired location and price range.