Housing Market Update
This year’s brutal winter took a toll on housing but the spring market is heating up. Low housing inventory has been a weak point in real estate but this spring there has been a 6.3% increase in new listings which is the first year-over-year growth in at least three years. Just in the Chicago area, new listings increased 10.6% year-over-year. These new listings will likely sell fast.
Last year, low inventory caused bidding wars which frequently pushed prices up over the asking price. The news of increased inventory of homes for sale could be an indicator that the buying conditions will be more reasonable this year, allowing more first time buyers a chance at homeownership.
Another area of housing that is on the rise is home prices. According to CoreLogic, home prices are up 12.2% nationwide compared to February 2013. Although prices remain on the rise, over the course of the year prices are likely to moderate and move at a more normal pace.
With housing inventory on the rise it may be a good time to consider making a move. Spring is the perfect time to get out and see what is available on the market. Before you shop consider getting pre-approved for a mortgage so you know home much home you can afford. At 1st Advantage you can even lock in a mortgage rate before you find your property. Ask me about the different rate lock options we have available and get started today.