The Real Estate market in 2019, like the last couple of years, is a changing mortgage rate market. Mortgage interest rates are lower than they were at the end of 2018, but fluctuating. Changes in interest rates can affect your budget for your new home as the cost of buying the same house goes up or down. For example, if mortgage rates increase by 1%, you’d need to decrease your total budget by a little more than 10% to get the same monthly mortgage payment. Buyers with the best credit get the best available rates, so make sure to keep your credit score high or clean things up before applying for a new mortgage. Your mortgage broker will help you navigate the mortgage application process and help you determine when it’s the right time to lock your new mortgage rate.
Home prices are up around Charlotte, but not as much as they were from 2017 to 2018. Rising interest rates may help to keep home prices from rising sharply, but prices will continue to rise if fewer homeowners are willing to sell their houses this year. Homeowners that are moving up into other neighborhoods want to get as much as possible for their house if they need to spend more to buy their next house. Mecklenburg County released their new tax valuation this year and houses around Mecklenburg county have increased significantly since the last valuation assessments. This formal valuation increase has the ability to bolster confidence of homeowners on both sides of the buying transaction. The appraisal you conduct in your home buying process is the best indication of the value of your new house, but your agent can help you get the tax valuation on the home that you’re purchasing.
The latest remodeling trends indicate that more would-be sellers chose to renovate this year and stay in their home longer and take advantage of their existing low mortgage rates to build equity and accumulate wealth. There are plenty of houses available on the market for serious buyers, but the dip in supply might leave out those potential buyers who are not yet certain what they’re looking for or just trying to take advantage of lower interest rates. Your Realtor will help you find the right house if you’re ready to buy something this spring.
Even in a changing interest rate market, it’s possible to find the right house to call your own. Lean on your Realtor and Mortgage Broker to provide you with advice that will help you navigate the home-buying process and find a house with a price that fits your budget.