Real Estate Trends
In early 2021, the 30-year mortgage bottomed out at 2.65% but is now 3.125% according to Freddie Mac.
The good news: the Fed plans to maintain ‘easy money’ policies for the foreseeable future
As a counterweight to potential higher Democratic spending, the Fed reassured markets that it has no plans to end “easy money” policies any time soon.
Minutes from the January 2021 Fed meeting revealed internal agreement that the economy is far from goal levels.
This is good news for mortgage shoppers; allowing them more purchasing power.
Currently, the 2021 market in Marin County is moving quickly once again. We are seeing multiple offers on almost every property in every price range.
The low interest rates are adding to the surge of buyers in to the market. The demand is as high as it was throughout 2020. We are seeing buyers wanting larger spaces for home offices, more privacy, and bigger yards for outdoor entertaining.
The offers on properties being written are very competitive. We are seeing many "all cash" offers and no other contingencies. For buyers obtaining a loan, it's best to be fully underwritten from a lender, ensuring that you will get that loan, translating to writing an offer with "no loan" contingency.
It is a strong sellers market at this time. The inventory is low, therefore driving the prices up. As we come in to spring/summer, the inventory should increase giving more buyers more opportunities, and leveling the playing field a bit. We shall see!