Home prices have stopped their free fall and many markets have lower inventories of available properties. The extended and expanded tax credit will end on April 30. However, the major reason to buy now is the historically low mortgage rates which no way to go but up.
If you’ve been holding off making a real estate purchase, the flicker of hope that the housing market may be turning around may have you wondering if it’s finally time get off the fence and make a move.
Although home prices remain stable in the Highlands and Cashiers NC market, the threat of more foreclosures and short sales still loom on the horizon and may place some slight downward pressure on pricing. More importantly, mortgages rates remain historically low and the tax credits that were offered to new buyers and expanded to current homeowners expire on April 30th.
Besides the loss of the tax credit, the biggest game-changer facing home buyers is a potential jump in mortgage rates. If the Fed moves ahead with its plan to stop buying mortgage-backed securities at the end of March, the rate on a 30-year fixed mortgage is expected to increase nearly a percentage point from today’s 5.18% to 6.1% by the end of 2010, according to the Mortgage Bankers Association. On a $450,000 fixed-rate mortgage, that’s an extra $261 per month.
Inventory in the Highlands and Cashiers area is stable with some foreclosure and short sale opportunities still available. Don’t miss your chance to own your special place in the mountains of Western North Carolina before the market begins its normal cycle of increasing prices.
For more information on foreclosures and short sales, or all properties available in the Highlands and Cashiers market, please visit our website at www.meadowsmtnrealty.com or give us a call anytime at 828-526-1717 to discuss your search for the perfect mountain home.