If you’ve been waiting for the right time to buy a home, now may be the perfect time to begin your search. Real estate is on an uphill climb with home prices on the rise and values continuing to increase. Not only is the national market improving, but our local real estate market is also doing particularly well. We are confident in what the future holds for Austin real estate.
The National Market
Let’s start by taking a look at the national real estate market. Because of the Federal Reserve’s bond-buying program, mortgages are staying low. The Reserve has also set an incredibly low interest rate on mortgages, so the conditions are set for continued growth in the housing sector. Of course, an increase in the interest rate and a decrease in bond buying will need to occur at some point, meaning that homebuyers may need to act quickly to benefit most from these policies.
Just consider the fact that real estate just experienced its best quarter since 2006, with home prices up 10.2% in March, when compared to the same time last year. There have also been fewer foreclosures and fewer homes available lately, indicating expectations for strength in the market.
Keep It Local
While the national market is improving, Austin is among the leaders of the pack. Job growth, an increased population, low interest rates and improvements in the rent market have combined to create excellent conditions for buying and selling homes. In fact, according to The Austin American-Statesman, April home sales were up 32% and home prices were up 8% in comparison with April of last year. In total, the Austin community spent a whopping 52% more on housing than they spent in April 2012.
In the Austin area, home prices have already returned to pre-recession levels. Most metropolitan areas are unable to boast this level of recovery. As new homebuilders add more homes to the market, the Austin housing market will finally reach a state of equilibrium between housing supply and demand. Equilibrium in the market will bring stability to the home price level, which will promote consistent growth.
By all indicators, now is the time to reinvest in the housing market, particularly in the Austin area. Whether you’re looking for a new home or are looking to invest, Buffington Homes has a potential property just for you.