Wondering what’s in store for the housing market this year? Continue Reading
Our blog serves as a comprehensive resource offering insights into market statistics, home values, and practical advice for buying and selling properties. We also include local information to keep you informed about the community we care deeply about. If you have any questions, feel free to contact us. We’re eager to assist you in finding your perfect home!
Wondering what’s in store for the housing market this year? Continue Reading
Dr. Jessica Lautz is the Deputy Chief Economist and Vice President of Research at the National Association of REALTORS®.
Facts: The average 30-year fixed mortgage rate from Freddie Mac rose to 7.04% from 6.93% last week. At 7.04%, with 20% down, a monthly mortgage payment is $2,138 on a home with a price of $400,000. With 10% down, the typical payment would be $2,405.
Positive: Despite the highest mortgage interest rates since May 2024, mortgage applications jumped in the last week. The holidays can be a reality check that a move is needed if a home is not working for a family, especially as homeowners continue to accrue housing equity.
Negative: CPI notched up yesterday; the increase was from goods that Americans need, which could hold back savings for a down payment for first-time buyers who are more rate-dependent. Will this housing market remain a housing market of haves and have-nots in 2025?
Dr. Jessica Lautz is the Deputy Chief Economist and Vice President of Research at the National Association of REALTORS®.
Facts: The average 30-year fixed mortgage rate from Freddie Mac rose to 6.93% from 6.91% last week. At 6.93%, with 20% down, a monthly mortgage payment is $2,114 on a home with a price of $400,000. With 10% down, the typical payment would be $2,378.
Positive: Despite the current affordability headwinds, there has been an increase in both pending and existing-home sales activity. Homeowners are making trades with housing equity gains, offsetting higher mortgage rates.
Negative: Rates hitting a 6-month high will plague first-time buyers who are more rate-sensitive. Mortgage applications declined last week as home buyers reacted to higher mortgage interest rates in late December/early January. Eyes will turn to home builders who borrow to build and watch rates acutely.
Welcome to 2025! What a year 2024 was! We hope that this New Year finds you and your family happy and healthy. The holidays are behind us and it’s time to make those New Year’s resolutions. Have you made yours? Are you sticking to it? Well, Malik Real Estate is going to continue to update you on what is happening in the Real Estate market here on the Central Coast.
Malik Real Estate had a strong year and finished with 48 total transactions and over $32 million in total sales! Making them the top, independently owned Real Estate agency for Atascadero. Jaime Silveira, owner/broker, has once again earned the title of #1 listing agent for Atascadero. She helped more Atascadero homeowners sell their homes than any other Realtor.
The numbers are in for December and they line up with what we typically see this time of year. For Atascadero the number of homes sold increased from this time last year, but the median sales price went down. For both Paso Robles and Templeton, the number of homes sold decreased but the median sales price went up a bit. However, all three cities continue to see home prices remaining strong. When comparing the average sales price to the average list price, homes are closing at or slightly below the list price.
Supply and demand will continue to play a role in the sales forecast for 2025. An increase in inventory is starting to give buyers more options when purchasing a home. Interest rates are projected to go down, giving buyers more buying opportunity. So, whether you are a buyer or seller, it’s a strong market on the Central Coast.
Here are some statistics for Atascadero, Paso Robles and Templeton for the month of December 2024. If you would like to see information on other Central Coast cities, please let us know.
Lawrence Yun is Chief Economist for the National Association of REALTORS®.
Despite the cuts to the short-term interest rates by the Federal Reserve, mortgage rates have largely refused to budge. One reason is that consumer price inflation has not been fully contained and slightly accelerated in the past two months. Lending money over the longer term needs to compensate for future returned money's loss of purchasing power.
More Fed-rate cuts are likely in 2025 because consumer prices should calm down measurably. Though multifamily housing starts tumbled this year, the completions of new apartments are still strongly rolling in from the previous year’s high housing starts. The added supply will help cool rents. Therefore, the gap with the mortgage rates will not remain wide, which means mortgage rates will modestly trend lower.
Given that mortgage rates have stayed above 6% for over two years, consumers are getting used to the new normal, especially considering that the 50-year average is 7.7%. Jobs and inventory will drive home sales.
