Check out housing's recovery.
Recent data shows that housing is leading the overall economic recovery with a V-shaped curve.
What does that mean?
When the economy came to a halt in the spring, housing industry activity plummeted along with everything else. Six months later, housing has rebounded significantly and when charted, forms a clear V shape.
July’s existing home sales grew at a pace not seen since 2006. Strong mortgage purchase applications in August showed a continuing trend. New construction measures were similarly strong this summer. Overall, 2020 home sales are on track to beat 2019 levels.
Yes, the market is strong. But what does it mean if you already own your home?
The news is good for you, too. The Federal Housing Finance Agency (FHFA) released its most recent Home Price Index (HPI), which shows prices rose nationwide by 1.0% in July over the previous month and 6.5% over July 2019’s prices. Growth for June and July combined was the largest 2-month improvement since the agency started the HPI in 1991. For many homeowners, this translates into thousands and even tens of thousands in equity growth.
We can’t say it’s perfect, but it’s close.
Values are up, and rates remain low. If you purchase or refinance at a low rate, more of your payment can go to principal and less to interest.
If you are interested in trading up, you may be surprised how low a new housing payment might be compared to what you pay now.
Do you want to talk about the opportunities available to you in today’s hot housing market?
Reach out at 860.426.2447 and we would be happy to help.