Lately, much talk in market circles has centered on the coronavirus. And, in a February 2020 domestic market overview, it’s impact is real. Although, fact from hyperbole should be the focus, when assessing as impactful an event as an epidemic. That said, politics and Wall Street played their roles in ‘ginning things up.’ As a result, many investors took to selling riskier assets. Then, they took to safe-haven investments. Also, political players seek to use an epidemic scenario against opponents. As the same time, the virus is far from being defined as a pandemic. And, a vaccine has already been seen on the horizon. Although, what affect does the scenario have on real estate areas of the market now?
February 2020 Domestic Market Overview and Update
Many investors lean toward the safe haven of Mortgage-Backed Securities. In turn, yields and mortgage rates go down. Since that is true, Americans can enjoy some good news. Those shopping for mortgages, that is. Although, when it comes to some global economies, they may have slow downs.
The mortgage-rate low comes at a time when the economy here at home shows record expansion. And, unemployment hits an all-time record low. As a result, more people are ‘in the game’. They have job stability and a positive outlook on the future. In fact, more people can benefit from the low rates than ever before now. That includes a huge segment for home re-financing. Although, what about home sales?
February 2020 domestic market overview shows a home sales segment responding less firmly to the low mortgage rates. Although, that factor points mainly to low, resale-home inventory. At the same time, many people look to new home construction, instead. In fact, it seems to be picking up in supply. But, the pricing is somewhat higher pricing than resale. An inventory factor comes tempered with higher prices. These come tempered with lower mortgage rates. The result, relative affordability remains intact.
Would you like to know more about the domestic or local, San Mateo County real estate market? Visit the Real Estate Report. Although, would you like details on buying or selling a home? Contact a local market and real estate expert. In fact, contact Carmen Miranda. Why not give her a call today?