Check out some of the news we want to share with you this June. From mortgage rates dropping again to what you can get for $1,100 in Raleigh. Also tips on 10 cities in which you should invest in properties.
The latest national housing report from RE/MAX (NYSE:RMAX) found a 20% increase in home sales from April to May, although May’s sales were also down 18.7% from one year ago. “The sizeable jump in May homes sales signals the start of the peak selling season, but lack of inventory remains the biggest challenge for home buyers,” said Nick Bailey, RE/MAX president and CEO. “With the vast majority of homeowners having a mortgage rate under 5% – and a good chunk of those are under 3.5% – we’re not seeing as much move-up activity as usual. That means fewer available listings for buyers to choose from – and most likely some continuing bumpiness in the market. That said, sales are still happening, and experienced agents are still finding solutions for their buyers and sellers.”
The 30-year fixed-rate mortgage averaged 6.69% as of June 15, down from last week when it averaged 6.71%. A year ago at this time, it averaged 5.78%. The 15-year fixed-rate mortgage averaged 6.10%, up from last week when it averaged 6.07%. A year ago at this time, it averaged 4.81%.
The total number of U.S. homes for sale for the four weeks ending June 11 was 6% lower from one year earlier, according to data from Redfin (NASDAQ:RDFN). This is the biggest decline in 13 months. Redfin reported new listings were down by 23%, which marked the tenth consecutive month of double-digit declines. There are 39% fewer homes for sale now than there were five years ago.
This week’s Price Point looks at rentals across the Triangle. For around $1,110 a month, we found choices in Northeast Raleigh, Durham and Cary. At this price point, options are limited in places like Chapel Hill and Pittsboro. Bigger metros like Durham and Raleigh offer the best value, but square footage is still tight.
If you’re looking to buy an investment property that will pay off in the (relatively) short term, where you buy is key. There are some cities where home values are poised to skyrocket over the next decade, so buying property now will pay off big time when you are ready to sell.