We’ve had a pretty unconventional year for real estate, both across the country and right here in Pittsburgh. A global pandemic and the subsequent economic downturn may not have been in the forecast, but that doesn’t mean people aren’t still eager to buy and sell homes.
As we continue to adapt to a new normal, you may be wondering if now is the right time to make a move. Here’s where the housing market is headed for the rest of 2020.
What to Expect from the Real Estate Market
Unsurprisingly, COVID-19 put a damper on the busy spring and summer selling seasons. And while the market hasn’t quite made a full recovery, experts predict that we’ll continue to see huge gains throughout the rest of the year.
Thinking about buying or selling soon? We have a few fast facts that you should know before taking your first steps.
Mortgage rates have reached record lows
Even if you aren’t planning on moving soon, you’ve probably heard that mortgage rates have kept plunging since the end of 2019. Historically, rates for a 30-year fixed mortgage have ranged anywhere from 4% in the early 2010s to over 12% during the 1980s. Today, they’re sitting at 2.99%—the lowest number on record.
Wondering what that means for you? As a buyer, you’ll save tens of thousands over the lifespan of your loan with a lower interest rate. And if you decide to list your home, you could actually sell faster and for more money. When interest rates drop, more and more buyers tend to enter the market!
Home prices will continue to rise
Even throughout the global pandemic, the median price of homes nationally and here in Pittsburgh has continued to rise. According to a recent report by the National Association of Realtors (NAR), we can expect to see these increases continue into 2021, especially for new construction properties.
Currently, the 2020 forecasted median price of homes is sitting at $283,000 for existing homes, while new homes typically cost around $325,000. So if you’re thinking about buying soon, you may want to act fast before prices keep climbing!
Home sales are projected to skyrocket
Although we did see a pretty big dip in sales during the first half of the year, experts are feeling optimistic about what the future holds for the housing market. By the end of 2020, we’re expected to see around 5.9 million closed home sales across the country. In 2021, that number could jump to 6.4 million or higher!
This large increase will likely be attributed to increased buyer confidence, as well as high demand and more inventory.
Bottom Line: Now is a great time to move!
Whether you decide to make a move now or next year, you’ll benefit from a strong and steady real estate market. If you’re on the fence about starting your real estate journey, our team would be more than happy to answer any questions you might have! We’ve been working in the Pittsburgh area for generations, so we know a thing or two about buying or selling homes.
Buy or Sell a Home in Pittsburgh
Ready to get started? Get in touch with the Jim Dolanch Team today for all of your real estate needs. We’d be happy to help you sell your home for top dollar, find your perfect place, or just show you everything Pittsburgh has to offer!