How is this downturn in our economy affecting your real estate decisions? Should you sell now to reap the equity you’ve got in your home? Should you buy now to take advantage of the great deals available? The answer for you depends on your long-term plans, your current financial situation, your long-term investment goals and our local market trends.
Nationwide, existing home sales jumped to a 5.18 million annual rate this September, which is a 5.5% increase from August’s 4.91 million annual rate. The National Association of Realtors reports that buyers are taking advantage of lower prices in many markets, especially in the West. For example, Southern California saw sales jump 65% from a year ago—As many as one-third of those sales were from foreclosures.
Mortgage applications also jumped 16.8% at the end of October. Almost half those loans were for homeowners that wanted to pull money from their homes. 46.9 % of those applications were for refinancing. This may reflect the desire of many homeowners to update their homes.
