Until the election is over and the FED meeting in November, then interest rates should remain in the 3.625% range with no points for a 30 year fixed rate with a credit score over 720 for all loans – conventional, VA, FHA & USDA. This is for loans over $100,000. Rates change for lesser loans. Even though the inventory is low, still a good time to BUY. Interest rates then should go up at the very end of the year.
The fast recovery from the Great Recession catapulted the Texas economy at breakneck speed from 2012-2014, pushing demand for housing even higher. Homes under $200,000 are only on the market 2.6 months with 6.5 months of inventory considered balanced. This of course pushes prices higher and with interest rates still low GREAT TIME TO BUY OR SELL. After the election & Feds meeting in November interest rates will probably go up.
In homes $150,000 to $300,000 in popular Tyler schools with an ABSORPTION RATE of 63.64% for a 6 month period. TEXAS has been a leading state for domestic migration since the mid-2000s + one of 5 states for international migration. Texas’ relatively low cost of living, strong economic growth due to the most recent oil boom & lightly regulated commercial environment have attracted businesses and people to the state. While the number of households in Texas grew 1.5% from 2011 to 2015, new housing units increases 1.2%, drawing down existing-home inventories to record lows. PART 3 NEXT TIME
Rapid recovery from the Great Recession + the shale oil boom has fueled demand for single-family home in TEXAS. Tight inventories and rapid price appreciation is pushing prices UP about 33% from 2007. Nationwide rose only 2.8% during this same period. Texas has enough land, but developing subdivisions is slow, so some builders are without lots to build on + labor & some material shortages. All of these have gone up! So declining affordability.