Until this point in 2020, increasing house prices, competitive bidding and low inventory have had a negative impact on the housing market. As a result, potential homeowners are finding it challenging to own a home. What is the forecast for 2021? Is home buying in San Antonio going to be any easier then?
Were you one of the home buyers in San Antonio on the sidelines watching the cut-throat housing market in 2020? Have you decided to wait for a better situation in 2021 following the crazy year that was 2020?
Who would have predicted 2020? But, there are some signs of what is in store for 2021 and this is what you should keep in mind:
Low-Interest Rates Continuing
Industry experts along with the best Real Estate Agent in San Antonio predict that mortgage rates in 2021 will remain in the low to mid 3% range. The Mortgage Bankers Association expects 2021 to begin with an average rate of 3.1% for 30-year mortgages. The forecast from Fannie Mae is even less at 2.8%. They predict an average of 3% for all of 2021.
With these low rates, your monthly mortgage payments will be very affordable. Homes in the higher price brackets now become more accessible with your increased budget.
Increasing Home Prices
In 2021, home prices will probably continue to rise, but at a slower rate compared to years past. A 2.4% increase is projected by Ray Suarez Luxury Real Estate Agent San Antonio, compared to the 5.1% from the previous year. Freddie Mac predicts a 2.6% increase.
Low-interest rates will lessen the blow of increasing prices, but this might result in paying a slightly higher mortgage or purchasing a smaller home.
A Greater Selection of Homes
Even with rising house prices, there might be a greater selection of homes for sale in San Antonio TX. New house construction is on course to increase as we enter 2021 and the housing starts are predicted to steadily rise throughout next year. Ray Suarez a Top Realtor San Antonio and Fannie Mae both forecast more single-family construction in 2021 compared to the previous 2 years.
Keep in Mind That Housing Is Local
Are the market conditions right to buy a house in 2021? Housing prices vary by location, so it is important to talk to Ray Suarez the best Realtor in San Antonio. He is the best guide for home buyers in San Antonio.