Real Estate Market Update from Cathy and Jim. What you need to Know.

 What's Happening?                                    

It is still a sellers Market, meaning advantage sellers. Inventory is low and demand is still good. Interest rate movement will be the deciding factor in buyer demand.

Homes are still selling. It has slowed down due to interest rates and inflation. The most noticeable change was less multiple offers on homes and fewer over asking price offers. Sellers are still receiving excellent offers.

A borrower in January who took out a $300,000, 30 year mortgage at 3.2% pays $1,297 per month in Principal and Interest. 

Today, that $300,00 borrower would be paying $1,976 per month Principal and Interest at 6.9% Interest. That's $679 per month higher and $8,148 for the year!

But don't Panic. These Interest rates ups and downs have been cyclical.    (Please Click Read More)

Here is an example of how homeowner mortgage rates have changed over the past 3 years:

Here is how mortgage interest rates have changed over the decades:

Average Interest rate in the 1970's was 7.4%.  

In the 1980's it averaged 13.7%

In the 1990's it was 9.1%.  

In the 2000's it was 6.6%.  

In the 2010's it was 4.4%.  

So far in the 2020's the average is 4.75%.  

Until now, where they have risen to near 7%.

Here is data on the Market in your area:

Indiana: 

Illinois:

We listened to an Interesting Podcast from an Experienced financial advisor. He talked about 4 things you should do with your finances.

1. Don't use debit cards online. This cash actually leaves your bank account, unlike Credit cards.

2. Don't buy a car now. New or Used. Wait 6-12 months until inventory increases.                 

3. Don't pay credit card interest. Pay the balance off each month. Credit card companies offer incentives for your use. Use them, but pay off your balance every month. Use credit cards for convenience only.

4. Don't skip your 401k match. This is free money. Your employer is trying to help you save for retirement. If I had a magic bank where you made a deposit for $100 and I gave you $200 back, you'd run home and try to find every $100 bill you could! That's what happens when your employer matches your money. Don't Pass it up.

How about this Enthusiastic Real Estate Agent?  (Short video clip)

https://www.youtube.com/watch?v=daGwEG0a7-g

Feel free to ask us any questions. We are here to help.

If you know of anyone who may be interested in Selling their Home, please pass along our name to them. We promise to give them Excellent Service and Even Better Results!

Thank you!

Cathy & Jim

E-Mail:Cathyhiggins@Mccolly.com

Call / Text: 708-828-3304.