5 Tips for Picking the Right Mortgage LenderTiffany PattersonOne of the most complicated decisions you will likely make concerning your home mortgage will be which lender to choose. Today there are
Whats Going On In The Market
As we enter the busy season of the housing market, many people are still skeptical when it comes to buying and even selling. Why is this? Well it seems that everyone wants to claim that they are an expert on this market and yet you talk to 10 different people and 5 say we are doomed and its all going to crash again. While the other 5 are optimists and say that we are just going to keep climbing and it will stay strong another 2 years or more. So what is the right answer? Well, I don't think anyone really knows. So how bout this...lets just look at the numbers and see what they have to say. Then you can interpret what you want from these numbers.
In April 2016, yet again the trend continues with home sales and prices going up, while inventory and market times were down. These have been the trends for the past few months. This has a lot to do with a lot of out-of-state buyers coming to the area, and also the millennials are finally hitting the market.
Now for you naysayers out there, you are looking at this and saying "this is exactly what happened back in 2006-07 right before everything tanked. And that is all true, but there are a few things that differ this time. While the median sales price on homes has been getting closer to what our market peak in July 2006 was, single-family inventory in Ada County, for existing and new construction combined, in April 2016, was 64% lower than the high in 2007. So when you look at these numbers they initially scare you due to the past market crash, but in reality while prices are getting back to the recent market peak, inventory is nowhere near the levels we saw back then.
So really the only fear in this market is the fact that we have dangerously low inventory. Really, this isn't a fear, its more of a nuisance. especially when it comes to existing homes inventory. This means that buyers don’t have many options. This problem will only continue to rise prices. Which is not necessarily a bad thing, but it can scare some people out of the market. The reason the rising prices are not necessarily bad is because they are rising for the right reasons. In this market it’s high demand vs. low supply that is pushing up prices, not market speculation. This also means that for the buyers who do get out there in the market and purchase a home, with the new and improved lending polices in place that mortgage default risk is going remain low.
I know that there are a lot of homeowners out there that got hit hard when things tanked before, but you are now in a spot where you can make up what you lost before. You may feel like the dog that got kicked and you have been afraid to come out of your house, but its safe now. The sun is shining, and homes are selling!
Since 2015, I have been the Co-Owner Of Tri-Peak Realty with my wife Ashley and business partner Greg. I am a dedicated and committed Realtor who consistently goes above and beyond for my customers. I....