In appreciation for all my book readers and blog followers, I offer my Home Buyer’s Forecast for 2016.
- Interest rates will rise slowly and gradually, ending 2016 about half a percent higher than 2015.
- March will see a rapid increase in home sales with buyers bidding up prices.
- More home buyers will waive the home inspection contingency in “hot markets.” (A mistake in my opinion.)
- Hot markets will be Seattle-Bellevue, Denver, Dallas-Fort Worth, Portland, Boise, Salt Lake City, and Omaha. (Thanks to Bloomberg for this one.)
- More young home buyers will look at neighborhood walkability as well as ability to ride their bikes to work as an important consideration.
- First time home buyers will look at townhomes and condominiums for more affordability, and lenders such as Envoy Mortgage will close more of these purchases due to their more lenient guidelines for multi-family structures.
- Buyers will preview homes online but will avoid clicking on online ads by agents and lenders.
- Builders will continue to build larger homes on smaller lots, making existing homes more attractive to families who want privacy.
- More home buyers will get pre-approved before touring homes, thanks to being better educated about the home buying process.
- More people will choose the conventional 3% down payment loan over the FHA 3.5% down payment loan.
- First time home buyers will take advantage of private grant money for their down payment as well as state down payment assistance programs.
- Underwriting requirements will lighten up and do away with some of the overly tight requirements of yesteryear.
Thank you for 28,000 views of my blog. I know next year will see even more! Thank you to all the readers who purchased my books and a double thank you to the readers who emailed me their gratitude for the information.
May God bless and keep us all healthy and safe in 2016!
Carolyn Warren, Senior Loan Officer
State licensed in CA and WA. NMLS license # 1284134
Envoy Mortgage, a full service mortgage lender, #6666