With the closeout of 2018 quickly approaching, there is a murmur across the area from buyers, sellers, and agents. What is to be expected in 2019?
Over the past two years, we’ve seen a radical increase in the listing prices of homes. With this, many buyers, specifically first-time home buyers, have backed down from the market due to affordability and practicality. As winter peaks and the market begins to ease back down (prices are usually lower in the winter months, in comparison of peak summer months), it can be expected that buyers will dip their toes in and revisit the market. Homes across the area are seeing price cuts; this season will be a prime opportunity for home ownership, especially for those buyers who have been unable to compete with the hot real estate market we have faced in Southeast Michigan.
As always, buyers are asked to seek pre-approval before scouring the market. A pre-approval will save a buyer valuable time and energy viewing homes that might be beyond their monthly housing budget. Keep in mind, we recommend that you stay conservative with your price point.
As some are buzzing about price cuts, others are questioning mortgage rates. This fall we saw a surge in mortgage rates after what seemed like a stand still in rates over the summer. Nationwide fixed mortgage rates are virtually an entire percentage point higher than they were a year ago, hitting nearly 5%. So, what’s the scoop for 2019? It’s anticipated that mortgage rates across the country will continue to rise, forcing many individuals to more vigorously scour the market now, hoping to nail down a home before mortgage rates raise another percent.
Things will inevitably change in 2019, but what won’t change is our desire to serve you. Here at The Wagley Group we want to come alongside you and cater our services to your direct needs. We pray that 2018 has been a year of joy and prosperity and we pray that 2019 is filled with peace and blessings. Happy New Year, from all of us at The Wagley Group!