Here is what the just-announced surge in purchase
applications means for you.
When we talk about being ready for anything – today’s news is exactly what we are talking about! Let’s face it – we are all adjusting to a New Year and maybe even experiencing a bit of the post-holiday blues. As prices moderated and rate projections hinted at another rise, many buyers and sellers were tempted to stay in ‘hold’ mode. But the recent window of mortgage rates has caused quite a frenzy – and those positioned for action are preparing for potentially rewarding results.
Today, National Mortgage News reported a 13.5% increase in loan applications for home purchases, a data point culminating into a 9-year high. Homebuyers who thought they were priced out of the market suddenly found themselves in a position to act, and sellers who thought the buyers had backed-off are now preparing to see a lot more foot traffic!
So, what does a rise in purchase applications really mean for you?
If you are a potential BUYER, talk to your loan agent ASAP! Find out what amount you qualify for based on today’s rates and be sure to compare loan programs (fixed, adjustable, government, jumbo, conventional, etc.). It’s possible that your qualifying amount may have changed or that you could have more program options than you did in recent weeks.
If you are a potential SELLER, you may want to obtain a complimentary home valuation to see what your home may be worth and what options that gives you. With purchase applications surging, buyers are going to be on the house hunt and this may be a window of opportunity in which we see multiple offers and fast turn times.
If you are a HOMEOWNER, your chance to refinance and access some equity for home improvements could be back! The current share of lending applications is 47% refinances and 53% purchases, so if you are looking to pull some cash out, move from an ARM to a fixed product or remove PMI – now is the time to act.
If you have any questions about what today’s news means for you and for how long – please do not hesitate to reach out. We are happy to connect you with a trusted lender, run a complimentary & no-obligation home valuation and make introductions to our favorite home improvement pros!
No matter what your goals are and what path the market takes, we are committed to helping you navigate it and land right where you want & need to be!
All our best,
Mark & Jason
