Signs of Spring Warming in Homebuyer Activity
As more buyers enter the housing market, it appears that spring is heating up. This is a positive sign for sellers, especially after rising mortgage rates left so many buyers out last year. Realtor.com’s latest data shows that buyers are returning to the market. However, the data is less than a year ago. We know this because of data on mortgage purchases. According to Investopedia, a mortgage application is a document that you submit to a lender to obtain a mortgage to buy real estate. This means that the number of mortgage applications indicates how many buyers are applying. In other words, an increase of mortgage applications is indicative of a rise in buyer demand. Joel Kan, VP, and Deputy Chief Economics Officer at the Mortgage Bankers Association (MBA), explained that as mortgage rates fell steadily in March, “Application activity increased while mortgage rates decreased. . . Recent increases, in conjunction with data from other sources, are a welcome development. Rates rose dramatically last year and applications fell. This is good news for sellers as it means that more buyers are looking for homes this spring, which is traditionally the busiest season in real estate. According to Realtor.com, sellers need to be prepared for the following: “If homeowners plan to sell in 2023,” This means that you should work with a local agent to maximize the appeal of your home and get it listed at a fair price. Partner with a local agent if you are thinking of selling your house to take advantage of the recent increase in buyer activity.
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