How is the Boston, MA Real Estate Market?

Are you thinking of dipping your toes into the Boston, MA real estate market and you aren't quite sure what the future holds? Depending on which headlines you read the market is up or down and some of the reports can be down right confusing. To help sort out the confusion, Freddie Mac has issued its monthly outlook for July, with a focus on what has driven down mortgage rates. It also showed how this is expected to drive home prices in the next year. 
 
Mortgage rates in Boston, MA have continued to slowly go down, Freddie Mac believes that the international concerns from the slowing growth in China and the U.K.’s Brexit vote have played a major role in driving mortgages lower. Freddie Mac’s most recent Primary Mortgage Market Survey showed that the average 30-year fixed-rate mortgage fell to a rate of 3.41%. This is nearly an all-time low. This low rate should boost housing activity, particularly refinancing activity. According to MSN Real Estate, Freddie Mac’s latest economic and housing price outlook is still calling for growth in both the economy and housing. The forecast calls for growth to rebound in the second half of 2016, with gross domestic product (GDP) rising 1.9% in 2016 and then rising 2.2% in 2017. 
 
Most interesting for would-be Boston, MA home-buyers is where the mortgage rates are expected to hit in the second half of 2016 and in 2017. The 30-year fixed-rate mortgage forecast has been revised down for both 2016 (by 30 basis points) and 2017 (by 50 basis points) to 3.6 percent and 4.0 percent, respectively. Prospective Boston, MA home-sellers will be interested to hear the home appreciation forecast which for 2016 remains at 5.0 percent, and in 2017, 4.0 percent. All around, the market is in good shape and is expected to continue so for the next year.

If you are thinking of buying your first home in Boston, MA or moving up to your ultimate dream home, now is a great time to get a sensational rate on your mortgage and therefore reduce your borrowing costs and monthly mortgage payments. Contact a Boston real estate agent today!

Lucas Garofalo

Keller Williams Realty

(617) 861-3631

Lucas@LucasBostonHomes.com

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