Horn Real Estate

06/09/2023

Comparing housing market metrics from one year to another can be challenging in a normal housing market – and the last few years have been anything but normal. In a way, they were ‘unicorn’ years. Expect unsettling housing market headlines this year, mostly due to unfair comparisons with the ‘unicorn’ years. DM me so I can share the data that puts those headlines in the proper perspective.

Comparing housing market metrics from one year to another can be challenging in a normal housing market – and the last few years have been anything but normal. In a way, they were 'unicorn' years.

06/08/2023

When you look at the numbers today, the one thing that stands out is the strength of this housing market. We can see this is one of the most foundationally strong housing markets of our lifetime – if not the strongest housing market of our lifetime. Here are two fundamentals that prove this point.

>>The Current Mortgage Rate on Existing Mortgages

First, let’s look at the current rate on existing mortgages. According to the FHFA, as of the fourth quarter of last year, over 80% of existing mortgages have a rate below 5%. That’s significant. And, to take that one step further, over 50% of mortgages have a rate below 4%. Here's why this gives the housing market such a solid foundation today. Having so many homeowners with such low mortgage rates helps us avoid a crisis with a flood of foreclosures coming to market like there was back in 2008.

>>The Amount of Homeowner Equity

Second, Americans are sitting on tremendous equity right now. According to the...

When you look at the numbers today, the one thing that stands out is the strength of this housing market.

06/07/2023

Today’s mortgage rates are top-of-mind for many homebuyers right now. As a result, if you’re thinking about buying for the first time or selling your current house to move into a home that better fits your needs, you may be asking yourself these two questions:

>>Why Are Mortgage Rates So High?

The 30-year fixed-rate mortgage is largely influenced by the supply and demand for mortgage-backed securities (MBS). Demand for MBS helps determine the spread between the 10-Year Treasury Yield and the 30-year fixed mortgage rate. Historically, the average spread between the two is 1.72.

Last Friday morning, the mortgage rate was 6.85%. That means the spread was 3.2%, which is almost 1.5% over the norm. If the spread was at its historical average, mortgage rates would be 5.37%.

This large spread is very unusual. The good news is, that means there’s room for mortgage rates to improve today. So, what’s causing the larger spread and making mortgage rates so high...

Today’s mortgage rates are top-of-mind for many homebuyers right now.

06/06/2023

With all the headlines circulating about home prices and rising mortgage rates, you may wonder if it still makes sense to invest in homeownership right now. A recent poll from Gallup shows the answer is yes. In fact, real estate was voted the best long-term investment for the 11th consecutive year, consistently beating other investment types like gold, stocks, and bonds.

If you’re thinking about purchasing a home, let this poll reassure you. Even with everything happening today, Americans recognize owning a home is a powerful financial decision.

Why Do Americans Still Feel So Positive About the Value of Investing in a Home?

Purchasing real estate has typically been a solid long-term strategy for building wealth in America. As Lawrence Yun, Chief Economist at the National Association of Realtors (NAR), notes, “. . . homeownership is a catalyst for building wealth for people from all walks of life. A monthly mortgage payment is often considered a force...

With all the headlines circulating about home prices and rising mortgage rates, you may wonder if it still makes sense to invest in homeownership right now.

06/05/2023

During the fourth quarter of last year, many housing experts predicted home prices were going to crash this year.

>>The Bad News: It Rattled Consumer Confidence

These forecasts put doubt in the minds of many consumers about the strength of the residential real estate market. Evidence of this can be from Fannie Mae. It showed a larger percentage of Americans believed home prices would fall over the next 12 months than in any other December in the history of the survey. That caused people to hesitate about their homebuying or selling plans as we entered the new year.

>>The Good News: Home Prices Never Crashed

However, home prices didn’t come crashing down and seem to be already rebounding from the minimal depreciation experienced over the last several months.

In a report just released, Goldman Sachs explains, “The global housing market seems to be stabilizing faster than expected despite months of rising mortgage rates, according to Goldman Sachs R...

During the fourth quarter of last year, many housing experts predicted home prices were going to crash this year.

06/02/2023

June is National Homeownership Month, and it’s a perfect time to think about all the benefits that come with owning your home. Owning a home not only makes you feel proud and accomplished, but it’s also a big step toward having a secure and stable financial future. Are you ready to enjoy all the amazing advantages that come with owning a home? Let’s get in touch to start the process today.

June is National Homeownership Month, and it’s a perfect time to think about all the benefits that come with owning your home.

06/01/2023

Buying and owning your home can make a big difference in your life by bringing you joy and a sense of belonging. And with June being National Homeownership Month, it’s the perfect time to think about all the benefits homeownership provides.

Here are three ways owning your home can give you a sense of accomplishment, happiness, and pride.

>>You May Feel Happier and More Fulfilled

Owning a home is associated with better mental health and well-being. According to the experts, owning a home can improve your psychological wellness by making you feel happier and more accomplished.

>>You Can Engage in Your Neighborhood and Grow Your Sense of Community

Your home connects you to your community. Homeowners tend to stay in their homes longer than renters, and that can help you feel more connected to your community because you have more time to build meaningful relationships. After all, it makes sense that someone would want to help improve the area they’re go...

Buying and owning your home can make a big difference in your life by bringing you joy and a sense of belonging.

05/31/2023

Buying your first home is an exciting decision and a major milestone that has the power to change your life for the better. As a first-time homebuyer, it’s a vision you can bring to life, but you’ll have to overcome some factors that have made it more challenging in recent years. That said, if you’re looking to purchase your first home, here are two things you can consider to help make your dreams a reality.

>>Save Money with First-Time Homebuyer Programs

Being able to pay for the initial costs and fees associated with homeownership can feel like a major hurdle. Fortunately, there are a lot of public and private first-time homebuyer programs that can help you get a loan with little-to-no money upfront. And many of these programs are offered by state and local governments. To take advantage of these programs, contact the housing authority in your state and browse sites like Down Payment Resource.

>>The Supply of Homes for Sale Is Low, So Explore Every...

Buying your first home is an exciting decision and a major milestone that has the power to change your life for the better.

05/30/2023

Comparing real estate metrics from one year to another can be challenging in a normal housing market. That’s due to possible variability in the market making the comparison less meaningful or accurate. Unpredictable events can have a significant impact on the circumstances and outcomes being compared.

Comparing this year’s numbers to the two ‘unicorn’ years we just experienced is almost worthless. By ‘unicorn,’ this is the less common definition of the word: “Something that is greatly desired but difficult or impossible to find.”

The pandemic profoundly changed real estate over the last few years. The demand for a home of our own skyrocketed, and people needed a home office and big backyard.

>>Waves of first-time and second-home buyers entered the market.
>>Already low mortgage rates were driven to historic lows.
>>The forbearance plan all but eliminated foreclosures.
>>Home values reached appreciation levels never seen before.

It was a mark...

Comparing real estate metrics from one year to another can be challenging in a normal housing market.

05/29/2023

We remember and honor those who gave all.

05/26/2023

If you want to sell your house, consider doing it this summer. The days are longer, the weather is warmer, and it’s a great time for sellers. If your needs have changed, now’s the time to capitalize on the low inventory and multiple offers in today’s sellers’ market. Let’s connect today if you’re ready to sell your house and move to a home that meets your changing needs.

If you want to sell your house, consider doing it this summer.

05/25/2023

If you’re trying to decide if now’s the time to sell your house, here’s what you should know. The limited number of homes available right now gives you a big advantage. That’s because there are more buyers out there than there are homes for sale. And, with so few homes on the market, buyers will have fewer options, so you set yourself up to get the most eyes possible on your house.

Here’s what industry experts are saying about why selling now has its benefits:

Lawrence Yun, Chief Economist at NAR: “Inventory levels are still at historic lows. Consequently, multiple offers are returning on a good number of properties.”

Selma Hepp, Chief Economist at CoreLogic: “We have not seen the traditional uptick in new listings from existing homeowners, so undersupply of housing will continue to heighten market competition and put pressure on prices in most regions. Some markets are already heating up considerably, but price premiums that we saw last spring and s...

If you’re trying to decide if now’s the time to sell your house, here’s what you should know.