March 3rd, 2020 10:59 AM by Gregg Mower
It’s March 2020, not yet spring but in California it is always spring like weather. Do you know what your house is worth this year? Have you thought about selling and buying another home? This might be the perfect year to do just that. Why, you ask? Well when the earth the stars and the moon all align you should take notice. The interest rates are at historic lows would be the first good reason. The second good reason would be that our economy is at full employment (Full employment is when the unemployment rate is less than 4%). The third and most important for sellers is that the housing prices are still high, and we have not seen any correction in prices.
Interest rates are important for a variety of reasons. When you are selling a house, you want the rates to be as low as possible so more potential buyers can qualify your house. Low interest rates also provides a sense of security for home buyers when they are shopping. Low rates also create a sense of urgency with potential buyers as they don’t want to miss the opportunity to get a low interest rate. At MAE Capital Real Estate and Loan having control over both the Real Estate and the loan process can further save potential buyers and sellers as we will give buyers money towards their loan to lower their interest rate even further when we represent a buyer and do the loan. With Rates so low putting your home on the market sooner than later will get you property sold faster as the inventory is so low currently.
In addition to low interest rates Americans are fully employed according to the labor department. So, with the majority of Americans employed in this booming economy there should be more potential home buyers in the market today. These young buyers have more information at their fingertips than ever so they know that rates are low and that they can afford to buy. In a market where most people are employed wages tend to be a bit higher so employers can keep those employees they have and not lose them to their competition, thus keeping job security and higher wages to potential home buyers. This sense of job security is also making existing homeowners feel more comfortable with their finances and are exploring the possibility of selling and moving up.
We have not seen the influx of sellers yet as most potential sellers like to wait until spring to put their house on the market traditionally. Those that make the move early will reap the rewards from a quick sale at the top of the market if their house is price properly. All of this creates stability in the Real Estate prices as the current supply is less than the demand which usually means that prices should increase, We have not seen the increases yet as we are still seasonally stagnant with buyers waiting for the spring inventory to hit the market. With that said if you are thinking of selling your home this year it would be prudent to get your home on the market as soon as possible with rates low and full employment. Here at MAE Capital Real Estate and Loan we are here to help. We have programs for first time home buyers, we have the lowest rates in the market on home loans, we bundle our services to save our clients money and if we list and sell your home represent you when purchasing your next home we will kick in money to lower your payment even further. Give us a call (916-672-6130) or check out our site and download our App.