TOLEDO, Ohio — The real estate market is still booming, and experts say the “seller’s market” won’t be ending anytime soon.
While millennials may find it hard to believe, 40 years ago, 30-year mortgage interest rates were over 18%. Now, you can get a rate of 3.5%.
In some cases, you can’t afford not to buy a home right now.
In Nov., there were 550 total home sales in the metro area - that’s up 16% from over a year ago. But, the new listings are drying up. There’s only so much inventory. Supply and demand tells you prices are going up.
John Mangas, from Re/Max said continued low mortgage rates, and millennials realizing it’s cheaper to buy than rent, has created a hot market nationwide.
“It's really attracted the millennials to clean up the credit, get rid of the student loans, do the things they needed to do so they’d get themselves in a position to qualify for a low-interest rate loan and buy that first house. That’s really been the impetus to drive the market," Mangas said.
Lenders are slammed with mortgage applications and refinances.
Maybe you already have a low rate? Check again. You might save even more money.
“Look at what your interest rate is and find out - there’s so many on the internet - find out what rates are. Then when you are doing that, think through, 'Is a 15-year mortgage is best for me? Is a 30-year mortgage appropriate for me?' Because there’s a lot of difference in years and paying that interest so really take a lot of things into consideration," Bill McConnell from PNC Bank said. "And it’s not just interest rates, but closing costs. There are other costs associated with it, so pay attention to it. Do the math.”
Mortgage rates are showing no sign of going back up.
Last year, the median home price in Toledo jumped almost 8%. The trend should continue this calendar year.