Two Great Signs for the Housing Market This Spring
There are an awful lot of factors that can influence the housing market, but we found two key things that are very encouraging for 2017. With spring the proven time to buy, especially in the Midwest, these two indicators should make everyone excited about April, May, and June right here in Northern Michigan.
First-time home buyers are in a particularly tough spot when it comes to entering the market, but one indicator of a healthy environment is the continuation of an older policy that looks to be continuing in 2017. New buyers will see reduced fees that are typically leveled at first-time purchasers, making it less expensive to get mortgages or other credit structures.
Another boost comes from Fannie Mae and Freddie Mac, the two largest government-owned mortgage companies. They will be backing larger loans and mortgages for the first time in several years in response to high real estate prices in larger markets. Those more expensive markets will be more dynamic, but it should also make less expensive loans more accessible to more people. These two factors mean credit is more available than it has been in some time.
Luckily, that doesn't seem to be changing, either. Interest rates have been on the rise, including a hike as recently as December of 2016. The pace of its increase has fallen well behind the anticipated numbers, however, and even with two or three increases expected in the next year, experts believe the rate won't exceed 4.3%. That's well below historical US averages, and one of the most competitive rates in the world at the moment.
The time is ripe for a new home, and we're here to make it easy. Whether you're selling or buying, our team of experienced, licensed realtors is here to make the whole experience easy, fun, and as exciting as it should be! We have offices in Elk Rapids and Kalkaska, and listings all over Northern Michigan.