With all the flurry and buzz, in the air lately, it makes sense to make some sense out of indicators and review actual market trends. In fact, what we’re hearing may not be heavily based on actual market performance. As a result, it makes sense to clear some of the air, even while looking at the Fed’s interjections, good or bad in recent days. And, we may need to keep in mind the Fed plays an important role, but not as ‘an end all be all’, for our economy. That said, let’s have a look at how the real estate sector is actually faring now. Then, we may just find the domestic real estate market faring well. We may find it’s resilient, robust and weathering the signature ups and downs, of its dynamics like a champ.
Domestic Real Estate Market Faring Well With Stable Overtones
Let’s review. As of August 1st, 2019 the Fed cut rates. But, 30-year, fixed-rate mortgage rates weren’t affected. In fact, they stayed at 3.75%. And, even as the Fed’s current posturing sends some mixed signals, the domestic economy is in pretty good shape. Also, a continuation of that prosperity includes keeping the so called truce with China. Although, resolving it would be even better for the U.S.
June home sales data also points to the domestic real estate market faring well. Although, there was a fall in rates, leaving the annualized rate of sale at 5.27 million units. That said, turns out it simply served to offset home price gains. And, those price gains keep moving ahead of income growth. As a result, set against a fall in rates, the housing market stabilizes at a moderate rate of sale.
With softer sales, as the June rate indicates, in a 1.7% dip for existing home sales, inventory levels continue creeping up. Although, they are still well below the 6 months of supply level. That is considered optimal. As a result, again, we find a market faring well, with stable overtones. And, projections show home buyers straddling both the existing and new home market ahead.
Would you like to know more about the local, San Mateo County real estate, and its market performance? And, do you want to know that as it relates to selling a home in the area? Talk with a market expert. Why not give Carmen Miranda a call today?