This October Housing Market Update is an interesting one….
Imagine you purchased a home anytime before March of this year. 30 year fixed mortgage rates were below 4% and you’ve just purchased a $300,000 home. Your monthly payment on your beautiful home is $1,400 a month. But you decide, you don’t like the layout and you didn’t know your neighbor was about to start a terrible garage band. You decide to sell and look for a new place to call home. Because interest rates have risen so much since just March your home budget of $1,400 a month could now only afford a $200,000 home. Would you sell your $300,000 home to buy a $200,000 and pay the same amount?
This is what’s happening in our housing market. No one is doing anything unless they have to.
October Housing Market Update:
- Pending Home Sales Lowest Since June 2010
- Mortgage Payments 40% more expensive YoY
- Active Listings up 36.2% YoY
- Home Prices 13% higher YoY
Thanks for reading,
Chris
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