The Real Estate Roller Coaster takes on new heights-------
March 15, 2013 “Dow reaches new milestone.” The Dow Jones average closed on March 14 with
its longest winning streak since 1996, 10 straight days of new record
highs. March 5th the Dow went
through its previous high mark and it has just kept on pace for another 9
straight days. Catch this, there are
only 3 other winning streaks of this variety in the history of the Dow Jones.
March 15, 2013 “Foreclosure rate moving down.” RealtyTrac reported that U.S. home
foreclosure rates dropped 11% in February from January and were down a WHOPPING
29% from the previous year. Robo signing
issues are gone, shadow inventory as an excuse fades, foreclosures are at their
lowest level since 2007! Home inventory
is at all-time lows, not just in Boise Idaho but across the country. Prices are rising and nothing in the
immediate future is going to change that fact.
March 15, 2013 “Freddie Mac announced that the average
loan rate for a 30 year mortgage crept upwards this week from 3.52 % to
3.63%." This is the highest borrowing rate
that we have seen since August of 2012; the low was November of 2012 at 3.31%. Guess what?
They are going to continue to rise.
What to make of it all?
When the stock market raises the bond market falls; when the bond market
goes lower, interest rates rise. Money leaves bonds, goes to stocks, so to get
money back to bonds interest rates have to rise. If you have been considering selling to buy up
or downsize, now is the time to MOVE.
Spring selling season is days away and as yards turn green, flowers
bloom and people begin their annual home searches. You should be ready to
GO. Interest rates will rise, they just
have to! The U.S. Treasury department cannot keep buying
bonds to support the lower rates. When
the rates start to rise they can go quickly, history has shown us that rates
can rise faster than the ocean tide on a full moon.
Stay tuned for more of the real estate roller
coaster ride and what to do.
Rick Bennett
Your Best Boise Real Estate Agent
208-412-2507
rickbennett@id-buy.com
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