The New Year is just around the corner, and with it comes new opportunities. If you’ve been thinking of buying a Columbus home, 2014 might be the year to make your move! Here are some real estate projections to guide you.
Columbus Home Prices Expected to Increase
Home prices throughout Ohio climbed higher during 2013, bringing the average home sale price to $137,039 in October. This is an increase of 2.3% from the prior year. Columbus home prices have been trending higher than the statewide average, reaching $160,000 last summer before tapering off to $147,000 in September. Please keep in mind that home sale prices are always highly localized, and market conditions will vary.
Home prices are expected to gradually rise during 2014, due to limited home inventories in the face of increasing buyer demand. Overall improvements in the economy, job growth, and improved consumer sentiment will sponsor growing demand for housing.
Mortgage Interest Rates Expected to Increase
When it comes to historically-low mortgage interest rates, the party may not be over, but it’s slowly starting to wind down. The Federal Reserve has announced it will reduce bond-purchasing activity during 2014, which includes mortgage-backed securities. The good news in this announcement is the evidence of a strengthening economy.
While the Fed will be taking baby steps to wean the market away from its influence, mortgage interest rates are expected to creep higher as a result, with 5% or so becoming the norm in 2014. Please note that the actual interest rates offered to you depend on your credibility.
Qualified Mortgage Rules May Limit Loan Options
In answer to the wave of mortgage defaults that happened during the Great Recession, new mortgage underwriting rules were developed to establish a uniform baseline for affordability. These rules become effective in January 2014. In order for a mortgage loan to be sold in the secondary market, it must meet stringent criteria. While most mortgage lenders have already been complying with the new guidelines, some are expected to scale back their loan offerings.
Your Exclusive Buyer’s Broker for Columbus
Buying a Columbus home takes planning and preparation. Fortunately, you have expert help available! Take the first step by downloading our FREE e-book for home buying tips and strategies!
As your Exclusive Buyer’s Broker, we provide trustworthy, professional guidance throughout the home buying process. We provide our services at no cost to you.
Contact us for help with your home buying questions! Remember, we are with you every step of the way…all the way home!
Andrew Show
Broker, CEBA, CEBA-M, CNE, CSP, ABR-M, e-PRO, GREEN
Buyer’s Resource Realty Services
Serving Metro Columbus, Ohio with Exclusive Buyer’s Agents
7100 North High Street, Suite 204, Worthington, Ohio 43085
614-888-4110 | 888-888-4110 Toll Free | 614-839-4110 Fax
