In 2019, the median sales price for a single family home rose to $316,000, that is an ALL-TIME HIGH! So, what does that mean. One could take away plenty of observations, just from that one statistic alone. Here are few more. In 2019 the median rise was a 3.3% increase over 2018. The real estate gurus (we will call them gurus, because experts are people who can positively predict without error) say that in 2020, the median increase will be about 2.8%. In 2019 mortgage rates steadily dropping below 4% for common types of loans. For 2020, those same gurus, think interest rates will stay around 3.7% for a 30-year mortgage and 3.2% for a 15-year mortgage. So, what does that tell us as consumers? Here are few take-aways!
– If you own a home, you are maximizing your investment. There are a lot of citizens out there that are currently renting or leasing and are only maximizing the value of equity in their landlords property. Sometimes renting or leasing is necessary, short-term. Owning a home, especially now, while prices are increasing, is a smart investment. Think about it this way…….you wouldn’t want to miss on a stock that peaks out and purchase that stock after the fact. Yes, I know the stock market is different than the housing market, but an investment is still an investment. So, what does all this have to do with selling????? Well, you cannot sell something you don’t own. So, invest now, maximize your equity, and when you are ready, you can cash out.
– Being as interest rates have been this low for this long, more buyers have entered the market and homes are being scooped up at a record pace. Here is the best part of that…….If you have been wanting to down-size, up-size, move away, move closer, move anywhere, your house will be much easier to sell. There are a lot of new buyers in the market and the inventory is just not there. Adding your home to the market now increases the likelihood that it will be sold sooner rather than later.
There has never been a more solid real estate market, IN MY OPINION! It is a great time for both buyer and sellers! The beneficiaries of this time isn’t one or the other, it’s both/and. Having sold real estate for quite some time, I have never been in a market, where the average days on market for houses in good shape has been this low.
What are you saying Daniel?
Buy some property, sell some property, but for goodness sake, take advantage of the market as it is. It may not stay like this very long and may never get to this level again!
Here is a link to an article regarding 2020 Real Estate.
https://www.msn.com/en-us/money/realestate/why-you-should-sell-your-home-in-2020/ar-BBUuwZu
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