Spring real estate market picking up
My last post was nearly 3 weeks ago. As you can imagine this is primarily due to me being much busier. I have had a number of people contact me in the last three weeks that are now ready for a move. I can certainly imagine that anybody considering buying or selling their home, now might be a great opportunity. The question is, how good of an opportunity is it really? Let's explore that, shall we.
Housing affordability was near the record in December. The relationship between mortgage rates, home prices, and family income is the most favorable on record for buying. The home price-to-income ratio continues to remain well below the historical standard. Stabilizing home prices and rising interest rates are expected to reverse the recent affordability trend.
Affordability is defined as the percentage of a median family's income required to make mortgage payments on a median-priced home.
Affordability as of December every year. Calculations assume a 20% down payment.
Source: National Association of Realtors
For more information about buying, selling, or investing in today's real estate market contact Josh Lavik at 608-234-1523 - Keller Williams Reatly - Downtown Madison