For the past 6 weeks weekly home sales have been fluctuating up and down in what looks like a bottoming process before seasonal spring and summer activity kicks in.
Chicago, IL (PRWEB) March 29, 2014
Peoples Home Equity was happy to see positive weekly housing release from DQnews.com. The news signals another potential reversal in the long term downtrend of home sales.
DQnews.com published its “National Home Sales Snapshot” on Thursday, March 27th. The snapshot showed that home sales increased 1.6% last week while home prices increased 0.9%. For the past 6 weeks weekly home sales have been fluctuating up and down in what looks like a bottoming process before seasonal spring and summer activity kicks in. This latest weekly home sales report is the 3rd time the numbers have shown a rise. In order for the trend to reverse the market needs to see a subsequent rise next week. The possibility of home sales rising, especially in the Midwest, is growing every day the weather gets warmer. Sales, at 161,980 are at their lowest since February/March 2013. The downtrend has been strong ever since September 2013. Meanwhile home prices have performed relatively well compared to home sales. Since September 2013, weekly home sales have declined roughly -40%, when home prices have fallen only -18% over the past 30 days.
Peoples Home Equity expects all real estate factors: sales, prices, and mortgage rates, to rise once seasonal activity picks up. The lender believes some homeowners are eager to sell their newly gained equity in their home and switch into a new home. This process will bring more housing inventory to the market which will be able to satisfy current demand levels. Given these expectations, prospective mortgage applicants should apply for a home loan soon! The Federal Reserve is also thinking about raising interest rates in about 12 months from now, if this occurs rates will instantly shift higher. Potential homebuyers, especially first-time homebuyers should prepare themselves now before home sales reverse and become less affordable!
If interested in securing a competitive, lower rate mortgage, consider speaking with a Peoples Home Equity loan officer today: (855)-897-0300