Housing prices are still on the rise in 2014 and though they will rise at a slower pace, they will be steady. In 2013, out of the 276 cities that are tracked by real estate data and analysis company, Clear Capital, 225 of them showed a rise in housing prices, some by over 10 percent. In fact, the price for an average home in the U.S. went up by $30,000 to an average of $215,000. For homeowners who had the patience to wait before refinancing or selling, this is the perfect time to do both.
Traditional buyers felt a sense of urgency in 2013 to take advantage of affordable home prices and low mortgage rates. However, the selections for these buyers were limited, and potential buyers ended up competing with investors who came with major financial backing or other buyers who could pay cash for the property. These bidding wars were great for the sellers who ended up with quick sales and often received their full asking price or higher.
Clear Capital reports that most houses will rise in price from 3 to 5 percent in 2014. Non-profit association, The Conference Board, reports that the number of buyers who are ready to purchase a home in the next six months will be at the highest level since 2000.
The Conference Board also sees the number of young adults who are seeking to purchase homes, increase due to the high numbers of college grads finally moving away from their parent’s homes, and the fact that rental prices can be too steep. It will make more monetary sense to buy a home, instead of losing money on high priced rentals.
(Source: MSN Real Estate)
(Posted by: Miki Leibowitz of Leibowitz Realty)