Are you looking for a mortgage that fits your budget? We are lucky to have Stacey Dowling’s professional advice to have a personal consultation about mortgage rate trends in Denver, CO. Even if you aren’t in Denver, you should check out these trends to have a general idea of the current market conditions and national average numbers.
6 Mortgage Must-Know Trends
- Mortgage rates are at record lows. Interest rates have been steadily declining since their peak in October 2008. These low-interest rates make it easier for potential homebuyers to buy homes. This trend could continue into 2019.
- Millennials are buying houses. According to the National Association of Realtors (NAR), millennials bought nearly $200 billion worth of real estate last year. In addition, the number of millennial buyers increased by 7% from 2017.
- Buyer demand is increasing. As home prices rise across the country, more people want to own property. Demand is expected to increase even further in 2019.
- Housing starts are rising. The NAR reports that construction starts rose 6.8% from August 2018 to August 2019. This is good news for homeowners who want to sell their properties.
- Investors are buying homes. Homeowners are selling their properties to investors. They believe that the value of their house will go up after they decide to sell it.
- Americans are moving back to cities. More than half of the population lives in urban areas. Many families are choosing to move back to cities where they can afford better schools and services.
The effect of these trends in the real estate markets
The housing market has seen some major changes over the years. In fact, the average home price in the U.S. increased from $193,000 in 2004 to $314,700 in 2018. This means that homeownership has become less affordable for many Americans.
However, the mortgage landscape has also changed. Today, borrowers can choose between fixed-rate mortgages or adjustable-rate mortgages (ARM). ARM loans offer lower rates during their initial period, but they tend to increase after a certain point.
In addition to the rise of online lenders, many new lending products have emerged, including FHA loans, VA loans, USDA loans, and others. The Federal Housing Administration (FHA) was created by Congress in 1934 to provide affordable mortgages to Americans who could not otherwise qualify for them. It was originally intended to serve low-income families, but it now offers mortgages to anyone who meets its requirements.
Have the right partner in the current housing market
Acquire the expertise and know-how of Synergy One Lendings (NMLS# 196631) to navigate the Denver market trends. Don’t reinvent the wheel when learning about your financing options, your credit scores, and your initial investment details. Whether working with first-time homebuyers, high net worth borrowers, or purchasers of investment property, Stacey knows that obtaining a mortgage can be one of the biggest and most stressful financial transactions of people‘s lives.
Whether you’re looking for your next home or refinancing your current home, take advantage of Stacey’s experience and contact her in the best way possible for you at (720) 637-1956.
