We’ve had a fascinating turn of events, economy-wise in 2014. Recent figures from the Bureau of Labor Statistics showed continued job growth and the unemployment rate falling below 6% for the first time in six years. The median price of a single family home in Santa Clarita has risen nearly $60,000 since January, with condos rising $35,000. Yes, we’ve seen more homes for sale in the Santa Clarita Valley than we had this time last year, but the rise in inventory denotes more of a balance in our real estate market than anything else.
There have been some doom sayers last year that predicted things would be much different by this time. Some predicted that the reduction in Quantitative Easing by the Federal Reserve would cause interest rates to leap forward. Others predicted another real estate bubble. None of which has happened in 2014.
In fact, the Federal Reserve recently announced that no new changes would take place in interest rates for at least the foreseeable future. They did this in part to insure the economy continues on its path to recovery by making money cheap to borrow. They are also taking precautions in the wake of a stronger dollar bumped up against slower economic growth in international markets. It’s a delicate balance, along with decisions that have affected our national economy in a very strong way, with the stock market spiking upward upon the most recent news.
Home buyers should take note!
Okay, so what part of “interest rates are still low” is keeping you from acting on this incredible purchasing power? Think about it. Low rates (Currently still hovering just above 4 percent), combined with more inventory in Santa Clarita, gives you opportunities to finally get into your dream home before the end of the year!
Montemayor & Associates are your choice for buying or selling real estate.
We are experienced, know the area extremely well, professional, and committed to insuring all of your real estate goals are met. Contact us for a no obligation consultation/Email Contact Form