What Are Experts Saying about Home Prices?

zero down mortgage ramsey, zero down mortgage ramsey MN, veteran home loan Zimmerman, zero down mortgage Elk River, mortgage broker Big Lake MN, mortgage broker Big Lake, home construction loans Elk River MN, Fannie Mae home loans Ramsey MN

mortgage broker Rogers, mortgage broker Rogers MN, mortgage broker St. Michael, mortgage broker St. Michael MN, va home loan Zimmerman, veteran home loan Elk River, veteran home loan Ramsey, veteran home loan Ramsey MN
Get a Mortgage Pre-Approval Today Contact DJ Riley at 763-276-3960.

 

Last week, a very well-respected real estate analytics firm surprised many with their home price projection for the next twelve months. CoreLogic, in their latest Home Price Index said:

“The economic downturn that started in March 2020 is predicted to cause a 6.6% drop in the HPI by May 2021, which would be the first decrease in annual home prices in over 9 years.”

The forecast was surprising as it was strikingly different than any other projection by major analysts. Six of the other eight forecasts call for appreciation, and the two who project depreciation indicate it will be one percent or less.

 

Here is a graph showing all of the projections:

home construction loans Monticello, home construction loans Monticello MN, home construction loans Ramsey, home construction loans Ramsey MN, home loans with no down payment Ramsey, home loans with no down payment Ramsey MN

best mortgage rates today Zimmerman, down payment assistance Elk River, down payment assistance Ramsey, down payment assistance Ramsey MN, down payment assistance Zimmerman, Fannie Mae home loans Ramsey
Get a Mortgage Pre-Approval Today Contact DJ Riley at 763-276-3960.

There’s a simple formula to determine the future price of any item: calculate the supply of that item in ratio to the demand for that item. In housing right now, demand far exceeds supply. Last week mortgage applications to buy a home were 33% higher than they were at the same time last year. The available inventory of homes for sale is 31% lower than it was last year. Normally, these numbers should call for homes to continue to appreciate.

Bottom Line

Because of the uncertainty with the pandemic, any economic prediction is extremely difficult. However, looking at the limited supply of homes for sale and the tremendous demand for housing, it is difficult to disagree with the majority of analysts who are calling for price appreciation.

Unemployment Report is Good News for Home Buyers

zero down mortgage ramsey, zero down mortgage ramsey MN, veteran home loan Zimmerman, zero down mortgage Elk River, mortgage broker Big Lake MN, mortgage broker Big Lake, home construction loans Elk River MN, Fannie Mae home loans Ramsey MN

0 down mortgage Ramsey, 0 down mortgage Ramsey MN, apply for VA home loan Ramsey, apply for VA home loan Ramsey MN, apply for VA home loan Zimmerman, best mortgage rates today Elk River,  best mortgage rates today Monticello, best mortgage rates today Monticello MN
Get a Mortgage Pre-Qualification Today Contact DJ Riley at 763-276-3960.

In early June, the U.S. Bureau of Labor Statistics released their May Employment Situation SummaryLeading up to the release, most experts predicted the unemployment rate would jump up to approximately 20% from the 14.7% rate announced last month.

The experts were shocked.

The Wall Street Journal put it this way:

“The May U.S. jobless rate fell to 13.3% and employers added 2.5 million jobs, blowing Wall Street expectations out of the water: Economists had forecast a loss of 8.3 million jobs and a 19.5% unemployment rate.”

best mortgage rates today Zimmerman, down payment assistance Elk River, down payment assistance Ramsey, down payment assistance Ramsey MN, down payment assistance Zimmerman, Fannie Mae home loans RamseyIn addition, CNBC revealed:

“The May gain was by far the biggest one-month jobs surge in U.S. history since at least 1939.”

Here are some of the job gains by sector:

  • Food Service and Bartenders – 1,400,000
  • Construction – 464,000
  • Education and Health Services – 424,000
  • Retail – 368,000
  • Other Services – 272,000
  • Manufacturing – 225,000
  • Professional Services – 127,000

There’s still a long way to go before the economy fully recovers, as 21 million Americans remain unemployed. That number is down, however, from 23FHA 203k lenders Ramsey, FHA 203k lenders Ramsey MN, FHA approved lenders Elk River, FHA approved lenders Ramsey, FHA loan application Ramsey, FHA mortgage interest rates Ramsey, home construction loans Elk River million just last month. And, of the 21 million in the current report, 73% feel their layoff is temporary. This aligns with a recent Federal Reserve Bank report that showed employers felt 75% of the job losses are temporary layoffs and furloughs.

The Employment Situation Summary was definitely a pleasant surprise, and evidence that the country’s economic turnaround is underway. The data also offers a labor-market snapshot from mid-May, when the government conducted its monthly survey of households and businesses. Many states did not open for business until the second half of May. This bodes well for next month’s jobs report.

Bottom Line

home construction loans Monticello, home construction loans Monticello MN, home construction loans Ramsey, home construction loans Ramsey MN, home loans with no down payment Ramsey, home loans with no down payment Ramsey MN
Get a Mortgage Pre-Qualification Today Contact DJ Riley at 763-276-3960.

We cannot rejoice over a report that reveals millions of American families are still without work. We can, however, feel relieved that we are headed in the right direction, and much more quickly than most anticipated.

Note: In its original report, the BLS explained that a misclassification error could have occurred over the last 3 months, starting in March of 2020. Readjusting for this error, the unemployment rate would actually show a drop from 19.7% in April to 16.3% in May. Nobody would say the original report of 13.3% unemployment was a good number, nor is the revised 16.3%. What is a positive move for our country and the economy is the significant drop in the rate from April to May, meaning more people are getting jobs than losing them. That’s the key takeaway.

Get Your House Ready to Sell this Winter

home loans with no down payment Elk River, home loans with no down payment Ramsey, home loans with no down payment Zimmerman, mortgage broker Albertville, mortgage broker Big Lake, mortgage broker Elk River, mortgage broker Monticello, mortgage broker Otsego, mortgage broker Ramsey, mortgage broker Rogers, mortgage broker St. Michael, mortgage broker Zimmerman

 

Get Your House Ready to Sell this Winter

 

best mortgage rates today Elk River, best mortgage rates today Monticello, best mortgage rates today Ramsey, best mortgage rates today Zimmerman, down payment assistance Elk River, down payment assistance Monticello, down payment assistance Ramsey, down payment assistance Zimmerman, zero down home loans Elk River, zero down home loans Ramsey, zero down home loans Zimmerman, zero down mortgage Elk River, zero down mortgage Ramsey, zero down mortgage Zimmerman

 

Some Highlights

  • Winter is a great time to list a house, since inventory is traditionally low, and most sellers are holding off until spring to put their homes on the market.
  • Waiting for warmer weather when more competition is on the market will only put your house up against many more choices for buyers.
  • Get your house ready to sell now with quick and easy fixes that make a big impact.

 

 

 

*Re-posted by: https://www.mykcm.com/2019/12/13/get-your-house-ready-to-sell-this-winter/