It may be easy to write 2020 off as a year we’d like to forget for many reasons, but I also want to acknowledge and reflect on the good things: my clients, friends, and family. I am so grateful to have each and every one of you in my life, and I truly would not be where I am today without the trust you’ve placed in me. So, thank you!
Market Update: Will Election Results Affect the Housing Market?
The elections last week were quite hectic, but so far, I haven’t noticed any immediate effects on the housing market. I don’t want to sound like a broken record, but I am just as busy now as I have been over the last few months. My clients continue to buy and sell, and I’ve even had an uptick in first-time homebuyers, with two going under contract last month. It’s pretty fascinating to think about how the market is going to play out over the next few years, so I put together some quick facts about consistencies we can expect to see in real estate following the elections:
Mortgage rates continue to reach all-time lows with applications up 24% annually and a commitment from the Federal Reserve that they will remain at the same rates until 2023, motivating buyers across the country. One of my clients recently obtained a loan at 2.5%!
The importance of home during a pandemic will continue to matter. We are still experiencing the impact of COVID-19, which comes with a renewed set of requirements for homes to meet our adaptations to daily life.
Real estate experts are predicting a strong 2021. Forecasted by the Mortgage Bankers Association, mortgage purchase volume is expected to set new records in 2021, with purchase origination volume experiencing an 8.5% year-over-year increase to $1.54 trillion.
Client Success Story
Not only are low interest rates attracting homebuyers, but investors are also taking advantage of the current seller’s market. I am very proud of an investor client of mine who bought a house in June with plans to use it as a rental property. They worked hard to fix it up, and when we realized they could make a great profit by selling it post-renovation, they decided to list it last month rather than hold onto it as a rental. After multiple offers, it went under contract over list price in three days! They will walk away with a good payday and are now looking for their next investment. I am so impressed with the work they did and inspired by their success. Check out these before and after photos!