As recently discussed on our blog, the market currently lies in favor of sellers as opposed to buyers, an analysis which is likely to change as buyers may have the opportunity to step forward later this year. News of mortgage rates and home prices increasing by mid 2019 gives potential homebuyers the chance to reconsider in 2018.
Data from CoreLogic and the U.S. Census Bureau and Department of Housing and Urban Development predict that median home prices are expected to increase by 3.9% in mid 2019. Mortgage trends and experts have similarly suspected that mortgage payments on a median-priced home could possibly increase by 10% in 2019. While no prediction can ever be taken as fact, it is something to consider. This increase in home prices and mortgage rates can be intimidating for potential homebuyers, but there is a silver lining.
The demand for homes in 2018 has given sellers the upperhand, while the latter half of the year may be the time when buyers take reign of the market. Considering these factors, it is encouraged by data that potential buyers reconsider a home as the market may shift in their favor due to increased availability of homes and a predicted slowing down of demand. With that being said, step over sellers, and make room!