Buying a home while interest rates are still very manageable

Homebuyers know that the housing market has been pretty volatile in recent years, with many people in the market trying to snap up decent properties that have become devalued since the housing bubble burst. Real estate prices have been on a powerful upswing in recent months, but there are signs all across America that the market is becoming much more balanced. You could say that buying a home is trending!

Slowly rising interest prices have been encouraging home sales across America over the past year. Homebuyers have been closing quickly on available real estate because of the dwindling inventory of homes meeting the requirements of buyers as well as fears that interest rates could start spiking in a stronger economy. Many potential homebuyers are finding that their first, second or even third-choice properties are being snapped up by higher bids.

Through the first half of 2013, American real estate sales increased by 10 percent, the fastest six-month increase in the sale price for property since 1977. Asking prices between May and July rose each month by 3.3 percent over that quarter, a quick and steady climb. Many buyers have struggled to keep up with this market.

However, some key indicators are pointing towards a plateau in property sales in coming months. Housing sale prices are still increasing, but at a much slower rate than the 4.2 percent to start the year. Cities like San Francisco and Portland, OR, have experienced much smaller gains in asking prices, indicating a fairly settled market. In June, the National Association of Realtors announced that pending home sales were down in June, which indicated that even fewer homes would be sold in one or two months, which is the normal time frame for closing on pending sales.

With much less uncertainty in the system, now is the time to do some serious thinking about home buying while interest rates are still very manageable. If you’re looking to move into Kingfisher, OK, or any of the surrounding areas northwest of Oklahoma City, give Phillips Real Estate a call. We’ll help you find a beautiful home far out on the Oklahoma prairie.


*Image courtesy of iqoncept