During the first half of 2013, low supplies of homes, low rates, and cash buyers spurred bidding wars, pushing prices up sharply. However, during the second half, market prices slowed down due to increased inventory and the pull back of cash investors due to increased prices.(Higher prices mean lower return of investment)
Is this a good Time to Buy a Home?
I’m being asked all the time… Is it too late to buy my first home? Did I miss the boat? And my answer is, if you can buy a home don’t wait, Homeownership (in most cases) is a way for most people to acquire wealth but you need to be careful to buy at the right price and make sure your budget has the flexibility to handle financial changes.
Is this a Good Time to Move Up?
For those that are thinking of buying that dream house, should make it a priority early in the New Year. Mortgage rates are projected to go higher, and home prices aren’t likely to go down.
The 2013 appreciation rate through November was 22.6 percent year to date, DataQuick Information Systems figures show. That's the biggest jump in nine years.
This year, price increases will be smaller. Chapman University economists say Orange County home prices will rise about 5.6 percent this year. Cal State Fullerton forecasters put price appreciation in the 5 percent to 7 percent range.
What this report Indicates is that you have gained more equity in the past than you will in the future, so you can 'cash in' on that increased equity and use it to move up to that dream home.