Chicago, IL (PRWEB) March 27, 2014
Pending home sales were announced on Thursday, March 27th, showing a decline of -10.5% for the month of February. Peoples Home Equity was no surprised by the report as expectations had reached their lows due to other recent home sale reports. However, the day did not end on a negative note as the market was happy to see revised up to 2.6% for the 4th quarter of 2013 from 2.1%.
As shown on TradingEconomics.com, U.S. pending home sales declined for the 3rd consecutive month and reached the lowest number since October 2011. Peoples Home Equity finds Thursday announcement an effect of what mortgage rates and harsh weather have had on real estate. Peoples Home Equity was not surprised by Thursday’s report as the lender stated on Wednesday, March 26th that it did “not expect to see any positive number as the market has already seen enough weekly/monthly declines of existing home sales and mortgage applications.” That said, the lender believes a reversal in sales is in itself pending. Homeowners are probably eager to sell the newly gained equity of their homes and will list their properties to serve seasonal demand when spring warms up. Market expectations of home sales are so low now that a move to the upside may have a dramatic effect on mortgage rates. Peoples Home Equity strongly encourages anyone thinking of purchasing a home this spring or summer to get locked in with a pre-approved home loan now.
News that Peoples Home Equity found to somewhat offset the negativity surrounding the dismal pending home sales numbers was that 4th quarter GDP revised up for 2013. TradingEconomics.com stated in a report titled "US GDP Growth Revised Up to 2.6% in Q4" that the “increase in real GDP in the fourth quarter primarily reflected positive contributions from PCE, exports, and nonresidential fixed investment that were partly offset by negative contributions from federal government spending and residential fixed investment. Imports, which are a subtraction in the calculation of GDP, increased.”
If interested in securing a competitive, lower rate mortgage, consider speaking with a Peoples Home Equity loan officer today details at: (855)-897-0300.