2014 US Housing Projections: Mortgage Rates And Home Values
With 2014 already here, it's incredible to think about how quickly time and trends pass. We have seen major shifts in the US housing market over the past 12 months, mostly good, along with some higher mortgage rates and increased values.
As we move into the new year, housing projections are often made about where we will find ourselves in the coming months and what kinds of housing trends we will find ourselves in. And, in 2014, we are expecting increased housing prices and mortgage rates.
The folks at Zillow have compiled their yearly stats for new year projections and we are looking at a 3% increase in home values throughout 2014, along with mortgage rates reaching 5% by the end of the year.
2013 saw increased values in housing by 5% nationwide with some markets reaching 20% gains. 2013 also saw decreases in number of days on market and a shortage of supply. Many of these trends will shift, and while values should continue to increase – not at 2013 rates which were not sustainable. We can also expect to see many Americans out of the ownership market with mortgage rates too high and supply too low.
What do you think about this 2014 housing projection for the US? Do you see similar trends in your local markets?
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