Blog :: 11-2014
5 Real Estate Predictions for 2015
- Mortgage rates: Interest rates will likely be on the rise next year. In recent weeks, the 30-year fixed-rate mortgage has dipped below 4 percent. But by next year, Freddie projects mortgage rates to average 4.6 percent and inch up to 5 percent by the end of the year.
- Home prices: By the time 2014 wraps up, home appreciation will likely have slowed to 4.5 percent this year from 9.3 percent last year. Appreciation is expected to drop further to an average 3 percent in 2015. "Continued house-price appreciation and rising mortgage rates will dampen affordability for home buyers," according to Freddie economists. "Historically speaking, that's moving from 'very high' levels of affordability to 'high' levels of affordability."
- Housing starts: Homebuilding is expected to ramp up in the new year, projected to rise by 20 percent from this year. That will likely help total home sales to climb by about 5 percent, reaching the best sales pace in eight years.
- Single-family originations: Mortgage originations of single-family homes will likely slip by an additional 8 percent, which can be attributed to a steep drop in refinancing volume. Refinancings are expected to make up only 23 percent of originations in 2015; they had been making up more than half in recent years.
- Multi-family mortgage originations: Mortgage originations for the multi-family sector have surged about 60 percent between 2011 and 2014. Increases are expected to continue in 2015, projected to rise about 14 percent.
The Crafts of Colrain is a self guided tour of talented Artisans located in Colrain, Massachusetts.
It is a great event that happens every year. You will enjoy a drive along the beautiful countryside.
Studios are open Saturday and Sunday (November 8th and 9th) from 10:00 a.m. to 5:00 p.m.
- Sales - Up 9.8 percent from 406 in September 2013 to 446 September 2014
- Median Price - Up 2.5 percent from 190,000 in September 2013 to 194,700 in September 2014
- Inventory of available property - Inventory is up 11.9 percent from 2714 single family listings at the end of September 2013 to 3,036 single family listings at the end of September 2014.
- Supply - At the end of September 2013 there were 6.7 months of supply at the current rate of sale. At the end of September 2014 there were 6.8 months of supply at the current rate of sale.
- Days on Market - The average days on market is down 1 percent from 105 days in September 2013 to 104 in September 2014.
- A Six-Year View - The median price is up 2.5 percent from $190,000 in September 2009 to $194,700 in September 2014
- Mortgage Rates - 30 year fixed rate mortgage averaged 4.20 percent with an average of 0.5 points for the week ending September 25, 2014. Last year at this time the 30 year FRM averaged 4.32 percent with an average 0.7 points.