Real Estate Chat with Cindi & Zach
Real Estate Chat with Cindi & Zach
Buying a home in Raleigh Durham has never been better when it comes to interest rates! The competition and lack of inventory…not so great! But the low interest rates have really made it more possible for people interested in buying a home in Raleigh or Durham!
So far this year, mortgage rates continue to hover around 3%, encouraging many hopeful homebuyers to enter the housing market. However, there’s a good chance rates will increase later this year and going into 2022, ultimately making it more expensive to borrow money for a home loan. Here’s a look at what several experts have to say. This will impact nationally and locally for those looking to buy a home in Raleigh Durham or elsewhere.
“Our long-term view for mortgage rates in 2021 is higher. As the economic outlook strengthens, thanks to progress against coronavirus and vaccines plus a dose of stimulus from the government, this pushes up expectations for economic growth . . . .”
“In 2021, I think rates will be similar or modestly higher . . . mortgage rates will continue to be historically favorable.”
“We forecast that mortgage rates will continue to rise through the end of next year. We estimate the 30-year fixed mortgage rate will average 3.4% in the fourth quarter of 2021, rising to 3.8% in the fourth quarter of 2022.”
If you’re planning to buy a home in Raleigh Durham, purchasing before mortgage interest rates rise may help you save significantly over the life of your home loan! We are Cindi & Zach Honeycutt, your favorite Raleigh Durham realtors! We would be honored to work alongside you on your raleigh durham home search!
The Honeycutts, Movil Realty, 919-730-0777 call or text anytime!
Taking a Look at the national & Raleigh Durham Real Estate Market
The financial benefits of buying a home as compared to renting one are always up for debate. However, one element of the equation is often ignored – the ability to build wealth as a homeowner.
Most experts are calling for home prices to continue appreciating over the next several years. The most recent Home Price Expectation Survey, a survey of over one hundred economists, real estate experts, and investment and market strategists, expects home appreciation to increase as follows:
Using their annual projections, the graph below shows the equity build-up a purchaser could earn, using a $350,000 home as an example:A homeowner could increase their net worth by over $80,000 in five years. That’s an average of $16,000 annually. That number should be in any equation determining the financial benefits of owning a home compared to renting.
These are national averages. When we take a look at the Raleigh Durham real estate numbers, things look even better!
The average sales price of a Raleigh Durham home from 2020 to 2021 increased by 13% in just one year! From March 2019 to March of 2020, there was an increase of 5.6% in average sales price. If we don’t even take this years unprecedented bumber of 13%, year over year sales price increases are much higher than the national average. Meaning, your household wealth factor is greatly higher after only a couple of years!
Homeowners are going to make a substantial amount of money in home equity over the next five years buying a home in Raleigh Durham. If you’re ready to buy a home in the triangle, let’s connect so you can enjoy this great benefit as well!
We are Zach & Cindi Honeycutt. Raleigh Durham real estate agents working to give you the benefit of 2 agents instead of 1! Give us a call anytime for a no strings buying or selling consultation.
The Honeycutts, Realtors, Movil Realty, 919-730-0777
If you’ve given even a casual thought to selling your Raleigh Durham house in the near future, this is the time to really think seriously about making a move. Here’s why this season is the ultimate sellers’ market and the optimal time to make sure your house is available for buyers who are looking for homes to purchase.
The latest Existing Home Sales Report from The National Association of Realtors (NAR) shows the inventory of houses for sale is still astonishingly low, sitting at just a 2-month supply at the current sales pace nationally. When we break it down to a more local Raleigh Durham market we are looking at a way smaller month supply…0.7% as of February 2021!
Historically, a 6-month supply is necessary for a ‘normal’ or ‘neutral’ market in which there are enough homes available for active buyers (See graph below):When the supply of houses for sale is as low as it is right now in the Raleigh Durham real estate market, it’s much harder for buyers to find homes to purchase. As a result, competition among purchasers rises and more bidding wars take place, making it essential for buyers to submit very attractive offers. There are so many multiple offer situations in the triangle that the average Raleigh Durham area are selling for an average of 100.5% of their list price. Keep in mind this is an average with many homes selling 10-20k above their initial listed price. Whoa.. talk about a super sellers market here in Raleigh Durham.
As this happens, home prices rise and sellers are in the best position to negotiate deals that meet their ideal terms. If you put your house on the market while so few homes are available to buy, it will likely get a lot of attention from hopeful buyers!
Today, there are many buyers who are ready, willing, and able to purchase a home. Low mortgage rates and a year filled with unique changes have prompted buyers to think differently about where they live – and they’re taking action. The supply of homes for sale in Raleigh Durham is not keeping up with this high demand, making now the optimal time to sell your house.
Home prices are appreciating in today’s sellers’ market. Making your home available over the coming weeks will give you the most exposure to buyers who will actively compete against each other to purchase it. Contact us today to get an idea of what your home is worth in today! We would be honored to be your Raleigh Durham realtors.
Zach & Cindi Honeycutt, Realtors, Movil Realty, 919-730-0777
Cindi & Zach Honeycutt
123 W. Main St.
Durham NC 27701
Complete Residential Real Estate Agents – Durham, North Carolina – Tel. 919-730-0777