When discussing the mortgage and real estate markets, forecasting is very important. With today’s very uncertain future there are a few things regarding these markets we may be able to predict to take advantage of buying conditions.
- Homes may be harder to find for buyers. Inventory has been low in 2020 and with 20% fewer existing homes for sale in May 2020 than May 2019, one could expect this trend to continue. Sellers may be uneasy opening their homes for open houses and prospective buyers.
- Lack of affordability may hold back home sales. Resale home sales are up 30% year over year. The scarcity level of homes in the entry level-priced market has continued into the middle of the year causing first-time buyers to have less choice in options available to their budget.
- Refinances levels continue to boom. Low mortgage rates make now a great time for home owners to refinance and this trend should continue as rates stay low throughout the end of 2020.
