Fannie Mae predicts spring and summer economic growth, which will result in higher home prices.
Fannie Mae said in a recent article titled, Budding Economic Growth Expected in Spring and Summer As Harsh Winter Fades:
“With regard to housing, we continue to anticipate that the rise in house prices and mortgage rates will take a toll on home sales and homebuilding activity this year, although some modest gains are expected overall,” said Duncan. “Housing starts are expected to rise nearly 20 percent to 1.1 million units this year. In particular, we believe new home sales will continue to perform well as the new home market faces less competition from foreclosures and distressed properties. In addition, supply remains low and time on the market is below the long-term average, which are positive signs for new home sales activity.”
Are you buying a home before prices rise?
Economic growth brings higher prices, which includes higher mortgages rates.
If you’re looking to purchase a home or refinance while mortgage rates are at historic lows, please contact us. We appreciate an opportunity to earn your business.