Archive for February, 2014
A recent study revealed that the number of existing home ownersplanning to buy a home this year is about to increase dramatically. Some are moving up, some are downsizing and others are making a lateral move. Another study shows that over 75% of these buyers will, in fact, be in that first category: a move-up buyer. We want to address this group of buyers in today’s blog post.
There is no way for us to predict the future but we can look at what happened over the last year. Let’s look at buyers that considered moving up last year but decided to wait instead.
Assume they had a home worth $300,000 and were looking at a home for $400,000 (putting 10% down they would get a mortgage of $360,000). By waiting, their house appreciated by 13.8% over the last year (national average based on the Case Shiller Pricing Index). Their home would now be worth $341,400. But, the $400,000 home would now be worth $455,200 (requiring a mortgage of $409,680).
Here is a table showing what additional monthly cost would be incurred by waiting:
Prices are projected to appreciate by over 4% and interest rates are also expected torise by as much as another full percentage point. If your family plans to move-up to a nicer or bigger home this year, it may make sense to move now rather than later.
If you would like to move up to a bigger property in Huntington Beach or Fountain Valley, contact me today. I would love to hear from you!
Here is a simple chart that explains why we thing buying a home makes more sense than renting one.
Buying a home is the best option in our market right now. If you are looking to purchase property in Huntington Beach or Fountain Valley, contact me for more information. I would love to hear from you.
As I’ve said previously, prices are expected to rise as the year progresses. Because of this, buying as soon as possible is the best step for buyers to take after deciding to purchase property. If you are looking to buy a Huntington Beach or Fountain Valley home, contact me for more information. I would love to hear from you!
Like I’ve said, many homeowners are considering putting their properties on the market in 2014. As this year progresses, the number of homeowners looking to sell will also increase. Beat the rush; if you are looking to sell, the time is now! Contact me at [email protected] or (714)815-6215 for more information on how to get started. I would love to hear from you!
We have previously talked about the diminishing supply of housing inventory and how it is impacting the real estate market. The situation might be about to change dramatically according to a recent survey by Lending Tree.
The survey revealed three interesting findings. Of those surveyed:
- 63% have a positive outlook on the economy this year
- 69% have a positive outlook on housing this year
- 71% said they are considering selling their home this year
While the first two findings are good news, the third was rather amazing.
71% of homeowners are considering selling their home in the next 12 months!
While we realize that 70% of the housing inventory in this country could never be turned over in a year, it is interesting that people are again thinking about moving. There has been a pent-up selling demand over the last few years because families lost both equity in their homes and confidence in the economy. Rising prices have returned equity to many and an improving economy is again rebuilding consumer confidence.
So, if you are looking to put your home on the market, beat the rush! The time to sell is now! If you are interested in selling your Huntington Beach or Fountain Valley property, contact me today. I would love to help you and look forward to hearing from you!
If you are looking to buy or sell a Huntington Beach or Fountain Valley home, I am an experienced Realtor who would love to help you move forward in this exciting process. For more information, contact me at [email protected] or (714)815-6215. I look forward to hearing from you!
If you are interested in buying a Huntington Beach or Fountain Valley home, I am here and ready to help you begin this exciting process! Contact me for more information; I would love to hear from you!