Real Estate Market Bulletin Blog

The latest news about the Massachusetts Housing Market
December 9, 2009

Mortgage Rates Still Low, But Ready to Move Up?

Author: admin - Categories: Lending Rate, MA Real Estate News, ma mortgage - Tags: , ,

As of the writing of the post, mortgage rates are as low as 4.625% for 30 year convential mortgages (where the buyer has excellent credit of course).  A few years ago, these rates would have stoked the real estate bubble further and invited criticism of easy money, but the fact that most lending activity continues to be primarily for refinancing (despite an overall increase of 8.5%) indicates that the housing market itself is still not healing.

The frozen housing market is one argument that rates will remain where they are (or possibly decline), however if other macroeconomic indicators continue to improve such as GDP or jobs (which has shown stabilization), expect the Federal Reserve to consider increasing the discount rate in early 2010, which will likely force mortgage rates up (by increasing the cost of borrowing to lenders).

We probably have at least 1 - 2 quarters before major movements in rates, but if you are considering purchasing a home or refinancing, start to plan it now!

September 29, 2009

Massachusetts Home Sales Rise Again

Author: admin - Categories: MA Real Estate News, Mass Home Prices, Real Estate News, real estate trends - Tags: ,

According to the Warren Group, which compiles statistics on the housing market, Massachusetts home sales rose for the second straight month.  August sales rose 2% year over year, following an 11% YOY increase in July.

Still, there’s quite a ways to go - the median sale price for homes in te Bay State remains 10% below last year’s median price, according to the press release.