Home prices has been declining since the spike in the interest rates in June 2022. There are so many domino effect diversities other than the home price decline that has spun off on these interest rates which is a positive. This has may first time buyers contending with affordability to purchase a first time home and cannot proceed.
The rationale from the Chairman of The Federal Reserve goal is to stop inflation, which goal consist of slowing down the spending of money. Since the two year pandemic and the Ukraine and Russia war, this has taken an adverse effect on the world. People quitting their jobs, gas prices skyrocketed, rent drastically increased, gasoline, retail goods and services drastically increased along with wages remaining the same.
Reports show that this will not be an overnight recovery, it took two years of record low interest rates to land where we are at today in 2022. Thoughts from the experts are that the rebound to see minimum results may be seen at least three to five years. Click link to learn more about home prices decreasing /HOME-PRICES-DECREASING---32819---32836---Dr-Phillips-6-25339.html?
Big mortgage lenders have become more creative and purchased off millions of dollars to sell homes at a certain percentage rate, and refinancing with no closing cost if rates fall below what rate has originally promised. Options are competitive such as buying your interest rate down at a particular price to keep your business. However your credit score must meet their guidelines to qualify. There has been talk of forty year mortgages to ease the affordability of monthly payments. The Mortgage Bankers Association reports a 49 percent drop in lending volume in 2022 and a huge 74 percent dip refinancing which makes sense. Click link to learn more about mortgage lenders /MORTGAGE-LENDERS---32819---32836---Orlando-Florida-6-20247.html
A good thing is that home inventory with new listings has increased with homes for sale, bidding war's have nearly come to a halt. Many are still holding on two year old prices that missed the boat. These interest rates has forced home prices to be in check for a correction of the housing market. In time this will turn into a buyer's market. While inventory increases across many markets prices are slow to come down with rising rates sideline many potential buyers and sellers. So it's a gotcha for renters, rent increases each year to offset the owners inflation expenses. This get's renters to consider and get off the fence and finally have a made up mind of purchasing a home. Click link to learn more /HOUSING-MARKET-CORRECTING---32819---32836---Dr-Phillips-6-22828.html
Buyers now have more bargaining power than ever now, even though a housing supply boost is well needed for the country to get healthy. Click link for a free buyer's e-book https://kevinstrawter.book.live/buyer-book
As a trusted adviser and professional realtor always on the pulse of the housing market for the Dr Phillips area and Central Florida, stay connected and contact Kevin Strawter today at 850 496-6412. Click link to learn more about how to hire the right realtor /HOW-DO-I-HIRE-THE-RIGHT-REALTOR---32819---32836---Dr-Phillips-6-16972.html
Click link to learn more about Kevin