The refi surge continues to carry over into 2020 as consumers and homeowners take advantage of rates that have held at low percentages. Refinancing has also been the lead drive for mortgage origination.
As more buyers are entering the market, housing prices are still rising after a 6.9 percent rise in 2019. This is causing buyers to migrate to other metro areas outside of major cities. Cities such as San Francisco, Los Angeles, New York City, Washington D.C, are seeing some of the largest outflows.
While the Federal Reserve says they are not going to raise interest rates, there are still be some changes. With a unanimous decision, the Fed will hold rates steady. The benchmark will stay between the 1.5% to 1.75% range. This means people can keep their low rates for the next couple of months. Global activity and events, such as the Coronavirus, President Trumps’ Impeachment, and the consistent Trade Wars, will be the reason for any changes. Act quickly before they reevaluate and credit scores change.
Questions? Feel free to reach out for more information or to learn about your local market.