Russell Hulteen - Coldwell Banker Residential Brokerage

Posted by Russell Hulteen on 6/28/2016 BREXIT!! The lazy days of summer may be approaching, but the real estate industry is busier than ever. According to the National Association of Realtors (NAR), existing home sales are up 6.0 percent in April when compared to the same month last year and that's despite inventory shortages and faster price growth. With the spring rush still rushing, real estate sales professionals have worked overtime with homes going under agreement in a matter of days, and deals entering into serious bidding wars. Essentially, the real estate market is hot. To the surprise of many, the United Kingdom has achieved their Independence Day! The immediate repercussions of the Brexit vote are harsh and reverberating throughout the global economy, causing worldwide stocks to sink and even more European politicians to call for their own national referendums. Amid the turbulence, a small unexpected benefit for the U.S. housing market has emerged; At least for the short term, U.S. mortgage rates are being pushed lower as foreign investors, running out of options, try to find any safe place to for their money. According to Erin Lantz, vice president of mortgages at Zillow, "When we see that demand, that in turn drives down the mortgage rates that consumers in the U.S. have access to. What it means is that if you're a homebuyer looking at a $200,000 home and putting 20% down, you average savings today is about $15 per month less than they would have been yesterday. It's anyone's guess where mortgage rates go from here, but the increased uncertainty we have today is going to keep rates lower for longer." For homebuyers who still haven't found their dream home during the spring crush, the time is still ripe for those who want to purchase a home. While rumors of rising interest rates are prevalent, they are still holding at all-time record lows providing homebuyers an opportunity to get in the market. It has been speculated by industry watchers that interest rates will inch upwards as the economy continues to slowly grow strength. Even the slightest bump in interest rates however can price a buyer out of their dream home. The key message here is don't wait, or you could miss your opportunity. Inventory still remains tight in most areas ensuring that we'll most likely continue to experience a seller's market throughout the summer months. According to NAR, total housing inventory is at a 4.7-month supply at the current sales pace. A six month supply is considered a balanced market. Home sellers who missed the early spring rush won't be making a mistake by putting their home on the market now. New home buyers are still anxious to take advantage of lower interest rates and move into their new home before summer ends. Home prices are also rising with the temperatures. NAR states that the median existing-home price for all housing types in April was up 6.3 percent from April 2015. April's price increase marks the 50th consecutive month of year-over-year gains. To see how hot your market is, look to the statistics here, or contact me. I can provide you with the exact details for the communities that interest you most. Call now before it gets too hot to handle! Find Your County/Zip Below to See Your Market Report. Want a hyper-local, up-to-the-minute report for your neighborhood or town? Just Call and Ask – it’s free!   617-901-6004 Market Reports (PDF): Massachusetts Boston - 02113-North End | Boston - 02115-Fenway | Boston - 02116-Back Back | Boston - 02118-South End | Boston - 02130-Jamaica Plain | Boston - 02210-Seaport | Boston - 02114-Beacon Hill 02108 | Boston - 02108 | Boston - 02129-Charlestown | Barnstable Bristol | Essex | Franklin | Hampden | Hampshire | Middlesex | Norfolk | Plymouth | Suffolk Worcester Maine Androscoggin | Cumberland | Kennebec | Lincoln | Sagadahoc | York New Hampshire Belknap | Carroll | Hillsborough | Merrimack | Rockingham | Strafford Rhode Island Bristol | Kent | Newport | Providence | Washington

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