There’s good news for homeowners, as home values are reaching their highest levels since the 2008 recession. According to figures from the National Association of REALTORS®, prices are up significantly from 2015 to 2016, and are expected to rise even more in 2017.
With the low inventory expecting to continue in 2017, researchers say prices in more than 1,000 U.S. cities could see their highest home values than ever within the next year.
A main reason behind the higher home values nationwide is the lack of available inventory for home buyers. As home builders are slowly getting back to speed with filing building permits for new home construction, many prospective home buyers are clamoring for the properties currently available in their respective markets. In economic terms, the overwhelming demand for the limited supply is driving up prices.
Prospective home buyers should be preparing themselves to be as competitive as possible when making purchase offers during the spring and summer buying seasons. Being flexible with closing dates and negotiation terms, and ensuring that they have solid loan pre-approvals will help weed them out from the crowds of less serious and less qualified buyers. Speaking with a loan originator beforehand will also nail down the exact home purchase price that home buyers will be comfortable with when it comes to making monthly home loan payments. Securing a seasoned real estate professional to assist in the search and buying process is also likely to make the process more efficient.
Zach is a Mortgage Advisor with State Bank in Dublin, OH. He writes and speaks regularly on the mortgage industry, personal finance, business development, and leadership. His focused approach on educating clients through the mortgage process allows him to help hundreds of new homeowners each year.
Learn more about Zach at www.mortgagecoachzach.com, find him on instagram @mortgagecoachzach, or call/text him at 740-398-4917.