Homebuying season is here
March marked the beginning of Spring which means… homebuying season is here! The real estate market continues to be abuzz with questions about rate cuts — will they happen and if so, when?
-Robert Heck, VP of Mortgage @ Morty
Paid Partner
Let’s break down some of the trends we’ve been seeing:
Is Inflation Here to Stay? Inflation has remained higher than the Fed (and everyone else) had hoped, and the unfortunate news is that interest rate cuts previously expected in June may be pushed to September at the earliest.
How Will Interest Rates Move? Still lower than they were last year, 30-year fixed rates have been fluctuating between the high 6% to low 7% range. Many experts believe mortgage rates will stay flat or go up a bit, until inflation is more stable.
What Does Home Inventory Look Like? Good news here! Supply of homes continues to improve with the number of homes actively for sale up 23.5% year over year, marking the fifth consecutive month of growth.
Are Homes Getting More Affordable? Yes! The median price of homes for sale in March increased only slightly, 0.2% compared to last year. This is a result of positive home selling sentiment driving slightly more affordable, newly listed homes to the market. Home buyers should continue to see more affordable home listings, but when rates come down, it’s likely prices will go up.
There are always trade-offs when deciding if now is the right time to buy a home. Try asking yourself: do I buy a more affordable home today and refinance later, or do I wait for rates to come down and potentially pay a higher home price as competition increases?We know that’s not such an easy question to answer. Morty’s loan officers would be more than happy to help and discuss options with you.
Looking for a local expert?
Connect with a Morty loan officer to talk through your buying power today.
