What’s Up with Real Estate?
National news and local views for the week ending Friday, December 1, 2023
The holiday season is delivering early gifts to would-be buyers. Average 30-yr mortgage rates have dropped nearly 1% in the last month, and inventory levels are climbing. That said, home prices continue to rise across the country, with the Case-Shiller national home prices index already up 4.6% year-to-date.
National Real Estate News
Mortgage rates near 7%
Fluctuating Average 30-Year Mortgage Rates
After an upward trend for most of 2023, with rates rising from just below 6% to just over 8%, the average 30-year mortgage rates have recently dropped to nearly 7%. Although still relatively high, the market predicts that with inflation continuing to decline, the Federal Reserve is unlikely to raise rates and may even start reducing them in the first half of 2024.
Broad-based price rise
Increase in National Home Prices Continues for 8th Consecutive Month
According to Case-Shiller’s national home price index, the month-over-month home price index rose by 0.7% in September. The national index has risen by 4.6% year-to-date, with major city home price indexes increasing between 1.1% (Portland) and 8.2% (San Diego). Of the 20 major city indexes, 13 are now at record levels, surpassing the slight decline experienced in the second half of 2022.
Finding a bottom?
Existing Home Sales Decline Expected to End Soon
Over the past 20 months, sales of previously owned homes have decreased in 19 of them. High mortgage rates and home prices, combined with low inventory, have made it difficult for buyers to afford homes. However, this trend may be reversing soon. The National Association of Realtors predicts a 15% increase in transaction volumes next year, driven by falling mortgage rate.
Local Market Trends
As of Friday, December 1, 2023
| Area | Median Price | Active Listings | New Listings – 5 days | Median Days on Market |
|---|---|---|---|---|
| Clearfield, UT |
$450,000
-0.1%
|
81
-0.4%
|
9 |
59
0.2%
|
| Farmington, UT |
$636,197
0%
|
48
-0.1%
|
1 |
57
0.2%
|
| Ogden, UT |
$372,450
-0.2%
|
216
-0.5%
|
11 |
48
-0.1%
|
| South Ogden, UT |
$465,000
0.1%
|
21
-0.9%
|
– |
87
0.4%
|
Local Market Trends (
/
) from Nov. to Dec. 2023.
3 Reasons To Sell Your House Before the New Year [INFOGRAPHIC]
Experts Project Home Prices Will Rise over the Next 5 Years
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