For sellers who feel “locked-in” to lower mortgage interest rates and buyers who feel like the elevated rates of the recent past have made affordability a major obstacle in their purchasing plans, mortgage rates continued to be watched closely. The slower pace of the market during the past few years is not a mystery; buyers and sellers are waiting for the right moment. However, interest rates have decreased from their peak, inventory levels indicate that seller activity has increased, and there is a change happening in the market. Explore our recent blog recapping the recent S&P Cotality Case-Shiller Indices report and what the data means for our region in particular.
As mortgage activity quickly picks up, the mortgage rate lock volume recently rose 11.5% week over week. What’s driving this increase? Several factors, from purchase locks (up 8.4%), rate-term refinances (up 17.9%), and cash-out refinances (up 3.1%). Buyers are stepping off the sidelines and seriously pursuing their purchasing goals. Homeowners are repositioning (as indicated by the cash-out refinances) and preparing, and general housing confidence is building. This is a transitional period that presents an opportunity for those who are ready to make their moves before the broader population reacts to these shifts.
Market momentum is building, and now is an excellent time to run the numbers.
If you’re interested in learning more about your financing options, reach out to the Movement Mortgage team today.