Realtor explains market as mortgage rates hit 5%
MONTGOMERY, Ala. (WSFA) - The Alabama housing market remains competitive.
“It was very difficult when we first booked our agent because she would send us a home, and we’d fall in love with it, and then the next day it went under contract,” homebuyer Autumn Wilson said.
It is a busy time to buy and sell. And to add to the pressure, mortgage rates are up to 5%, the highest they have been since 2011, according to Freddie Mac.
“There’ll be some people that will be placed out of the market, but I think if people are prepared for it they’ll be OK,” said Bo Evans, president of the Montgomery Area Association of REALTORS.
Despite the extra cost, he does not think the market will slow anytime soon.
“Honestly, if you put a house on the market today, you could expect by Tuesday to have 10 offers,” he added.
The real estate expert highly recommends buyers and sellers hire an agent who can help simplify the process.
“Realtors know how to go down those paths and how to work through this stuff,” Evans said.
For buyers, Evans suggests locking in your mortgage rate as soon as possible. Additionally, with the high demand you may have to reconsider what you want in a new home.
“Particularly in this market, we still have inventory issues,” he said. “So it’s still incredibly hard to find a house.”
For sellers, Evan believes now is a good time to list.
“Now’s the time to do it, to get top dollar, not to say by the end of the year you won’t be able to get top dollar, it just may take a little longer,” he said.
The Montgomery Area Association of REALTORS recommends you search around for a quality real estate agent by talking to friends and family. You should go with someone you trust.
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