As 2013 comes to an end, economists are predicting that the mortgage market in 2014 will be driven by home purchases and not refinancing. Home affordability is also expected to rise despite rising mortgage rates. These trends were predicted in Freddie Mac's latest Economic and Housing Market outlook.
"With the close of 2013 will also come a major transition in the housing finance industry," said Frank Nothaft, Freddie Mac's chief economist and vice president. "For the first time since 2000, we're going to see the mortgage market dominated by purchase activity as the refinance share drops below 50%."
Meanwhile, Freddie Mac expects interest rates to steadily rise throughout 2014, with the 30-year, fixed-rate mortgage ending the year near 5%.
Some of the other predictions are as follows:
(1) Housing starts are projected to rise to a pace of 1.15 million units next year. A situation that will in turn create roughly 700,000 new construction jobs, the GSE said in its forecast.
(2) Home sales will remain somewhat restricted by the tighter inventory that is being experienced in many markets, with sales expected to rise between 5% and 6% from 2013 to 2014 according to Freddie Mac.
(3) Borrowers will also experience some positives in 2014, with home values continuing to rise at a more moderate pace of 5% to 6%.
Orawin Velz, an economist with Fannie Mae, believes the refinance market on average will make up 40% of all loan originations in 2014! Source: HousingWire
JP And Associates REALTORS (JPAR) is one of the top 100 independently owned brokerages in the US. A full service real estate brokerage firm specializing in real estate sales and marketing services with multiple offices across the US and expanding quickly. JPAR is also one of Real Trends top 500 Brokerages in the US for volume and sales and in the top 1% in the US for sales.
Our mission is to provide extraordinary services and exceed our clients’ expectations by always committing to the highest levels of professionalism, ethics and standards in the real estate industry.
JP and Associates REALTORS is a real estate company with a solid structure and foundation built around service and productivity. We believe in providing a fun and rewarding environment for all our REALTORS® and therefore always ready to support our REALTORs® Associates in any market and in any condition. All our REALTORs® will always strive to close more transactions in a given year than the average REALTOR®. Our goal is to recruit and retain the most professional, better trained REALTORs Associates in the local market.
If you are interested in a new career in real estate or already have a real estate license but wish to learn more about our company please contact us directly to set up an interview. We offer our agents a 100% commission plan, company leads, training and mentoring and coaching from TOP Producers with no office, desk fees or monthly marketing fees ever. We are a full service brokerage at a transaction fee cost.
At JP And Associates REALTORS we strive to exceed our Clients AND our Associates expectations.
If you’ve ever wondered how and why things happen in the City of
"Sold a home in 2015 in Northeast Dallas, Dallas, TX 75238. Mirna was amazing to work with when she helped me sell my property last year. Mirna is the consummate professional- responsive, proactive and knowledgeable about the market. She kept me posted throughout each step of the sale process and handled the preparation of the sale of my property with attention to every detail. I truly believe that my property sold quickly and commanded top dollar due to her guidance. I highly recommend Mirna if you are looking to buy or sell in the DFW Metroplex!