Buyers on a Budget Find This a Good Time to Purchase a Home
By: investUSA360 •
For anyone considering buying a home in the current market, there are some aggrevations that come with a strong market such as getting outbid on homes, not being able to locate the ideal property that matches the full wishlist, sticker shock, etc. Positive news maybe on the horizon for potential homebuyers however, as the median price of existing homes has just had a second month drop to $253,500 this past August. This report comes after an all time high of $263,300 was reported earlier this summer by the National Association of Realtors®.
Don't despair though if you are selling a home as this doesn't signal any serious signs of softening but rather that "Median sales prices typically decline a bit heading into the fall," because "Summer is a big time for home purchases, so that families settle in before school starts in the fall. In the fall, the types of homes that sell are smaller for people without kids. So they tend to be less expensive."according to realtor.com Chief Economist Danielle Hale.
The median price of a new construction home was $313,700 in July which is 23.7% more than an existing home according to the U.S. Census Bureau and U.S. Department of Housing and Urban Development. None of this has had much effect on the number of home sales in the same period though as existing home sales dipped slightly 1.7% in July and August due to a lack of available homes on the market. The sale of condos and co-ops increased 1.7% during the same period while single family homes dropped 2.1%.
According to NAR's chief economist Lawrence Yun "Steady employment gains, slowly rising incomes and lower mortgage rates generated sustained buyer interest all summer long, but unfortunately, not more home sales," "What’s ailing the housing market and continues to weigh on overall sales is the inadequate levels of available inventory and the upward pressure it’s putting on prices in several parts of the country."
To read the rest of the story at Realtor.com, click here.
real estate, investment, US real estate investment, new business