MOVING UP TO YOUR DREAM HOME? DON’T WAIT!

Thursday, May 17, 2018   /   by Nicole Solari

MOVING UP TO YOUR DREAM HOME? DON’T WAIT!



Moving Up to Your Dream Home? Don’t Wait!



Mortgage interest rates have risen by more than half of a point since the beginning of the year, and many assume that if mortgage rates rise, home values will fall. History, however, has shown this not to be true.


Where are home values today compared to the beginning of the year?


While rates have been rising, so have home values. Here are the most recent monthly price increases reported in the Home Price Insights Report from CoreLogic:



    • January: Prices were up 0.5% over the month before.

    • February: Prices were up 1% over the month before.

    • March: Prices were up 1.4% over the month before.


Not only did prices continue to appreciate, the level of appreciation accelerated over the first quarter. CoreLogic believes that home prices will increase by 5.2% over the next twelve months.


How can prices rise while mortgage rates increase?


Freddie Mac explained in a recent Insight Report:



“In the current housing market, the driving force behind the increase in prices is a low supply of both new and existing homes combined with historically low rates. As mortgage rates increase, the demand for home purchases will likely remain strong relative to the constrained supply and continue to put upward pressure on home prices.”


Bottom Line


If you are thinking about moving up to your dream home, waiting until later this year and hoping for prices to fall may not be a good strategy.


  real estate, home ownership, buying, realtor, selling, finances, invest, real estate team, home price

The Solari Group
Nicole Solari
DRE# 02014153

Solano Location
4820 Business Center Drive, Ste 140
Fairfield, CA 94534
707-486-5400

Napa Location
1700 2nd Street Suite 222
Napa, CA 94559
707-819-9119

IDX Content is provided via the Internet for consumers’ personal, non-commercial use. Variable Price’ indicates the seller is willing to entertain offers within a Listing Price Range. All measurements and all calculations of area are approximate. Information provided by Seller/Other sources, not verified by Broker. All interested persons should independently verify accuracy of information. Provided properties may or may not be listed by the office/agent presenting the information. IDX provided by Commissions Inc. Data last updated:April 4, 2020