Whether you're buying or selling your home in Michigan, the recent news about real estate prices may be good or bad news to your ears. According to recent numbers, home prices seem to finally be on the rise, leading some to say that first-time home buyers may want to change their New Year's resolution to buying a new home.
The downside is that home prices may not stay at "bargain-prices" forever. The upside is that sellers, who have suffered through the depressed housing market for quite some time now, are finally looking forward to the time when they will be able to see the payout of their investment.
According to reports, many people across the nation rented instead of buying-waiting for the moment when the market truly "bottomed out." But with so many people renting, commercial property owners began increasing rent rates throughout the country. Many experts point out that it no longer makes sense financially to rent property, leading many to become first-time home buyers in 2013.
Some real estate experts are saying that the market could be perfect right now for many first-time home buyers though as many loans, backed by the Federal Housing Administration, have looser credit and down-payment criteria compared with the tougher criteria associated with a standard loan.
For those who may have waited to sell their homes in hopes that the market would eventually rebound before their bank accounts gave out, the good news on the horizon is that prices are steadily climbing while mortgage rates stay reasonably low. According to some sources, a standard 30-year fixed-rate mortgage hit a record low this month, sitting around 3.46 percent with rates expected to stay low throughout next year as well.
Although the future of the real estate market is ever changing, experts are predicting that the sales and purchases of property in 2013 could mean that there is hope on the horizon for both buyers and sellers in the real estate market.
Source: The Wall Street Journal, "Will 2013 Be the Time for Home Buyers to Jump?" Rachel Louise Ensign, Nov. 24, 2012