Home Prices at Highest Level Since 2006
Great news for homeowners: home prices finally reached the record set a decade ago, closing the worst period in housing market history.
Home prices rose 5.5% over the past year, bringing the average home price 0.1% above the peak in July of 2006. This report is long-awaited for homeowners who bought during the boom years and hung on throughout the bust that resulted in an average price drop of 27%.
First-time homebuyers are also on the rise, increasing to 33% from 31% last year. While the numbers are moving in the right direction, first time purchases are still below the historical average of 40%. This decrease continues to hurt the market, so even a slow uptick is welcome news.
Although recovery means real estate bargains may be few and far between, it’s still a great time to buy a home. Rates are low and continued gains are expected in real estate, so purchasing property to live in or as an investment may be a great idea for you. If you need mortgage advice specific to your financial situation, or for a preapproval, contact United Home Loans here or at 708-531-8388.