The 2014 Housing Market- What to Watch For
There are so many factors that come into play when thinking about buying or selling a home. Most experts agree that the housing market is improving. There are four main factors that we would like to touch on. Let's start with the factor is usual the biggest concern for buyers and sellers.
1. Price- The prices of homes continue to rise because there is still a shortage of homes. There is growth happening, but it is still at a fairly slow pace. There are less foreclosures being listed, a lot of people have not yet listed their homes, and new construction has been picking up very slowly.
2. New Construction- Speaking of new construction, some homes are not being built right now because the prices of homes are still too low for some construction companies to justify construction. They have to factor in land, materials, and labor. Credit can be harder to come by for the smaller builders. Also, a lot of home owners do not have enough equity yet to "trade up".
3. Investors- Investors have been buying up a thousands of homes and turning them into rentals. This is actually playing a key role in helping to stabilize prices. Debt financing is also more readily available to property owners.
4. Lending Guidlines- The lenders have been able to ease up a bit especially because morgage insurance companies often only ask for a down payment of 5% of the home's value. Additional credit and docmentation checks are lessening as a result, therefore, it is getting easier for many individuals to get a loan. Mortgage rates are still relatively low.
The housing market is still favoring sellers, but the buyers are also benefitting. Homes prices are still rising, but they are relatively stable. If you would like to find out how all of this effects you personally please leave us a comment, email us at firstname.lastname@example.org, or call (801) 506-3110. You can also visit our facebook page at: https://www.facebook.com/pages/Exit-Realty-Plus-Utah/575338905878675.