Colorado Home prices are affordable with mortgage rates still at historic lows. But if you wait it might be too late!
The latest real estate news highlights the following trends.
- Mortgage rates are hovering around 4%.
- Economy is flourishing
- Major indicators showing an uptick in housing activity for 1st quarter of 2015!
Here are the stats:
Mortgage rates are hovering around 4%
– Mortgage rates fell below 3.9 percent in December for the first time since May 2013 when a spike in rates caused a slowdown in home sales.
– The falling rates have not translated to lower prices, however, as price-to-income and price-to-rent ratios remain high.
– This means home price growth will be muted during the coming year, according to Khater. Mortgage rates are not expected to increase much in 2015 due to low inflation. (Source DS News)
Economy is Flourishing
– U.S. payrolls for November surpassed even the most optimistic forecasts, increasing at the highest rate in more than two years, according to a government estimate. September’s employment growth also received a revision, climbing to 271,000.
– For November, economists had predicted payrolls would grow by 230,000, with estimates ranging as high as 275,000.According to the Labor Department, job gains were widespread across most sectors, led by the professional and business services sector.
– Among its five largest predictions for next year, Realtor.com expects first-time home buyers will return to the market in full force after years of retrenchment that has dampened the recovery of the housing market.
This push will be led by millennials, now settling into their families, careers, and 30s, who are eager to buy into the American dream. (Source DS News)
Major indicators showing an uptick in housing activity for 1st quarter of 2015
– The year 2015 is gearing up to be a stronger, more expensive housing market powered for the first time by new millennial buyers, according to Realtor.com 2015 Housing Forecast.
– DS News Dec 8th 2014 reported that both Fannie Mae and Freddie Mac announced on Monday Dec 8th they will begin allowing qualifying first-time borrowers to purchase homes with just a 3 percent down payment.
Most of the indicators are trending upward! Now is the time to get in before the Colorado housing market heats up. If you are on the sidelines, get in the game. Don’t wait!