Is It a Good Time to Sell My House?

61310 Meeks Cutoff Road, Bend, OR 97702
Presented by Sandy and John Kohlmoos | Offered at $1,199,000 | MLS# 220112580

From Keeping Current Matters

Last year, many homeowners thought twice about selling their houses due to the onset of the health crisis. This year, however, homeowners are beginning to regain their confidence when it comes to selling safely. The latest Home Purchase Sentiment Index (HPSI) by Fannie Mae shows that 57% of consumers believe now is a good time to sell.

Doug Duncan, Vice President and Chief Economist at Fannie Mae, explains:

“Overall, the index’s monthly increase was driven largely by a substantial jump in the share of consumers reporting that it’s a good time to sell a home, with many citing favorable mortgage rates, high home prices, and low housing inventory as their primary rationale.”

Normally, spring is the busiest season in the housing market – the time when many homeowners decide to list their houses. While this is obviously not a normal year since the pandemic is still very much upon us, experts are optimistic that consumer positivity around selling will lead to more homeowners making moves this year. Duncan continues to say:

“We will pay close attention to see if this newfound optimism develops into a trend.”

What does this mean if you’re thinking of selling your house?

The fact that there are so few houses available for sale today is one driver that’s encouraging consumers to think more positively about selling. The National Association of Realtors (NAR) states:

“Total housing inventory at the end of January amounted to 1.04 million units, down 1.9% from December and down 25.7% from one year ago (1.40 million).”

With so few homes available to buy, your house will be more likely to rise to the top of an eager purchaser’s wish list in this competitive market. Today’s high buyer activity is creating upward pressure on home prices and more multiple-offer scenarios. According to the Realtors Confidence Index Survey from NAR, the average home for sale is receiving 3.7 offers today, up from 2.3 offers just one year ago. This makes selling even more enticing.

In this kind of sellers’ market, you have a huge advantage in the process. And here’s another win – you can also use your equity toward a down payment on a new home when you move.

Wondering where you’ll go if you try to move while it’s so challenging to find a home to buy? Well, in many areas, there are more homes available at the higher end of the market, so finding a move-up home may be less of an issue if you’re ready to search for your dream home this spring.

Full article on Keeping Current Matters


More Generations Are Living under One Roof This Year

2070 NW 113th Ave, Portland, OR 97229
Presented by Jim McCartan and Kayla McCormick | Offered at $1,295,000 | MLS# 20555414

From Keeping Current Matters

2020 changed the way we use our time to where we work, how we socialize and gather together, and our needs at home. This also meant making decisions as to how we can best support and reach out to our extended families.

Some families, with maybe older children who moved back home. While some families, with relatives living in senior facilities, wanted them to move into their home.

These changes led more homebuyers to invest in multi-generational homes to accommodate more long-term plans.  According to the 2020 Profile of Home Buyers and Sellers from NAR, a multi-generational home has adult siblings, adult children over the age of 18, parents, and/or grandparents in the household.

Based on a recent study from NAR, there’s been an increase in purchasing trends for homes since the health crisis began. There are many reasons for this uptick in preference toward multi-generational homes. The top reasons show that buyers wanted to safely take care of and spend more time with aging parents.

Contact a real estate professional if you are in a similar situation to learn more about your local options and maybe even have your whole family under one roof by early next year.

Full article on Keeping Current Matters


Overall Home Sales Rise Nearly 26% From 2019

485 NW Spring St, White Salmon, WA 98672
Presented by England Property Group | Offered at $1,495,000 | MLS# 20673312

From Realtor Magazine

The National Association of REALTORS® reported last Tuesday that existing-home sales in November climbed 25.8% compared to last year.

Existing-home sales include completed transactions on single-family homes, townhomes, condos, and co-ops, slightly decreased by 2.5% in November compared to October’s unseasonably high levels. The slight decrease last month ended a five-month streak of month-over-month gains. Still, all four major regions across the country posted significant year-over-year growth.

Buying frenzy continued to press on housing markets in November. NAR reported that home prices are rapidly climbing up due to the high demand, posting double-digit increases compared to a year ago.

NAR’s Chief Economist Lawrence Yun said that circumstances are far from being back to the pre-pandemic normal. However, the latest stimulus package and with the vaccine distribution underway, and a very strong demand for homeownership still prevalent, robust growth is forthcoming for 2021.

Full article on Realtor Magazine


Economists Forecast Recovery to Begin in the Second Half of 2020

800 Terrace Dr, Lake Oswego, OR 97034
Listed by Yvonne Blewett | Offered at $1,559,000 | MLS# 20117172

From keepingcurrentmatters.com

Concerns about the country’s financial standpoint continue to come up daily now that everyone is thinking about the U.S. economy. The top question emerging is -when will the economy begin to recover? No one knows when the economic rebound is likely to happen, but expert economists are becoming aligned on when this will transpire.

Based on Economic Forecasting Survey from the Wall Street Journal, 85.3% believe a recovery will begin in the second half of 2020.

Chris Hyzy who is the Chief Investment Officer for Merrill stated they are fully expecting that the economy could begin to pick up in late June and July, then a strong recovery in Q4 of this year will follow.

Furthermore, five of the major financial institutions are also forecasting positive GDP in the second half of the year. Today, four of the five expect a recovery to begin in Q3 of 2020, and all five agree a recovery should start by Q4.

Leading economists, analysts, and financial institutions are all in agreement that the economic recovery should begin in the second half of 2020.

Full details on keepingcurrentmatters.com


Housing Market Positioned to Bring Back the Economy

Listed by: Jason Mendell
12160 SE Greiner Ln Happy Valley, OR 97086
Listed by Jason Mendell | Offered at $1,700,000 | MLS #19307064

From keepingcurrentmatters.com

Everyone is so focused on the American economy at the moment. As it goes, so does the world economy. With states beginning to reopen, the question becomes: which sectors of the economy will drive its recovery? There seems to be a growing agreement that the housing market is positioned to be that driving force toward the necessary improvement.

Some may question that statement as they look back on the last recession in 2008 when housing was the anchor to the economy – holding it back from sailing forward. But even then, the overall economy did not begin to recover until the real estate market started to regain its strength. This time, the housing market was in great shape when the virus hit.

According to Mark Fleming, Chief Economist of First American, many still live with the effect of the Great Recession. People may be expecting the housing market to follow the same path in response to the coronavirus outbreak. But, distinct differences are showing that the housing market may follow a much different path. The housing market may have led the recession in 2008-2009, it may also manage to bring us out of it this time.

Every piece of sold property has an impressive financial impact on local economies. As the real estate market continues to recover, it will act as a strong tailwind to the overall national economy.

Full article on keepingcurrentmatters.com


As Stay-At-Home Orders Ease, Homebuyers Are Getting Back In The Game

1832 SE Blue Skies Lane Prineville, OR 97754
Listed by The Vandenborn Group | Offered at $669,900 | MLS #220100645

From forbes.com

Homebuyers seem to be taking full advantage now that social distancing orders are being less tight across the country. According to the Mortgage Bankers Association, applications from homebuyers increased last week by 11%, marking the third consecutive week of increases.

The homebuying activity is still down 10% over the year, but that year-over-year gap is thinning out every week. The number of home buying loan applications in April was down 35% annually.

According to Joel Kan, MBA’s Associate Vice President of Economic and Industry forecasting, we can expect the wave of improvement to keep on spreading.

Refinance applications have been declining in recent weeks despite record-low mortgage rates. The average rate on a 30-year, the fixed-rate loan came in at 3.43%, but refinancing activity dropped 3% this week and 2% the week prior. This is probably due to a combination of factors, including stricter lending standards, increasing unemployment, and more time-strapped lenders.

If rates continue to drop, demand for refinances may see an even bigger spike. According to a report from Bloomberg, mortgage rates could drop below 3% in the coming weeks—well below the lowest point on record. This could add serious incentives for homeowners to refinance.

According to the recent Mortgage Monitor report from real estate analytics firm Black Knight, if rates drop to just 3%, more than 19 million homeowners could shave at least 0.75% off their mortgage rate.

This could mean a difference of around $80 per month and nearly $1,000 per year on a $250,000 home.

Full article on forbes.com


U.S. Homeownership Rate Rises to Highest Point in 8 Years

From keepingcurrentmatters.com

Almost everyone has been complying with the stay-at-home orders from our state and local governments for nearly two months now. This unexpected situation has put our daily lives on pause making us find comfort in spending time at home and feel secured from having a much-needed safe place to live.

According to the Housing Vacancy Survey (HVS), Americans place great value in homeownership and it is continuing to grow in the United States. The results provided by the U.S Census Bureau show that the homeownership rate rose to 65.3% for the first quarter of 2020. This is a number that has been rising since 2016 and is the highest rate obtained in eight years.

The National Association of Home Builders (NAHB) explained that a strong owner household formation with around 2.7 million homeowners added in the first quarter has made the increase of the homeownership rate, especially under the decreasing mortgage interest rates and strong new home sales and existing home sales in the first two months before coronavirus hit the economy.

The National Association of Home Builders (NAHB) also highlighted that the homeownership rates among all age groups increased in the first quarter of 2020.

  • Households under 35, who are mostly first-time homebuyers, have registered as the largest gains, with the homeownership rate increased by 1.9% from a year ago.
  • Households with ages between 35-44 have increased by 1.2%.
  • Households with ages between 55-64 have increased by 0.9%.
  • Households with ages between 45-54 have increased by 0.8%.
  • Households with ages over 65 have increased by 0.2%.

Homeownership has always been a great financial investment and an important part of the American Dream. The current situation makes many people feel more thankful for the home they get to share with their families. Coronavirus may be slowing our lives down, but it is showing us the emotional value of homeownership too.

Full article on keepingcurrentmatters.com