It’s a good time to sell for move-up buyers
Many growing families are in a housing sweet spot right now. And this may continue into the first part of 2017.
Mortgage rates are expected to edge up soon, but are still low by historical standards. If you have equity in your current home, this is the perfect time to trade up into a larger one and use the money from your home sale for your next down-payment.
Housing supplies in the $500,000 to $750,000 range have increased nearly 8 percent. So there are more choices in these higher price ranges.
To move on this, get your financing in order quickly. The record-low mortgage rates in 2016 aren’t expected to last much longer. I’ve read that average rates may be rising by a half a percent in 2017. Though rates remain low, any increase makes a mortgage less affordable.
For example, if rates jump from 3.7 percent to 4.2 percent on a 30-year fixed-rate mortgage, it would mean an $864 rise in annual payments on a $250,000 mortgage!
Source: “The One Big Real Estate Trend You Need to Understand in 2017,” Fortune (Nov. 27, 2016)