Consumer Confidence and Home Buying
Reports out this week show that Consumer Confidence and Home Buying continue to improve. Consumer Confidence rose to 78.1 in December, rebounding from the lows hit in October and early November due to the government shutdown. In housing news, the S&P/Case Shiller Home Price 20-City Index rose by 13.6 percent year-over-year in October. This was just below expectations, but up from the 13.2 percent annual gain recorded in September. Pending Home Sales for November ticked up slightly, while New Home Sales fell slightly to an annual rate of 464,000 units. However, the number of New Home Sales for October was revised up to 474,000, which was the highest level since July 2008. Overall, the housing market continues to improve.
What does this mean for home loan rates? The Fed will be closely monitoring economic reports in the coming weeks and months as it decides when to further taper its Bond purchases. The timing of further tapering could have a big impact on Mortgage Bonds and home loan rates this year. This is a key story to watch in 2014.
The bottom line is that now remains a great time to consider a home purchase or refinance, as home loan rates remain attractive compared to historical levels. Let me know if I can answer any questions.
With this news is it any wonder that sellers are excited about listing their homes right now with an anticipated many more hitting the market in the Spring. Start your home search now by scheduling showings with our team. Simply complete the contact us button and we will reach out to you and arrange convenient times to view those properties that meet your needs.
As the weather continues to ‘warm’ this week into the mid-30’s keep in mind that we are ready and willing to show properties in any weather. We just need time to make the appointment. Other than that we are here when you are ready!
Stay warm. Drink lots of liquids and be happy!
[special thanks to Kent Hackstadt at Pulaski Bank for his economic and housing news]