300 Main Street, Suite 200, Dubuque, IA 52001
Mon – Thurs 8 am – 5 pm, Fri 8 am – 12 pm
DAVENPORT, IA – After analyzing the data from the first quarter of 2018, and reviewing overall housing trends, there are several reasons why now is the best time to sell.
1. With mortgage rates climbing, it’s time for sellers to act. As average mortgage rates inch higher, house hunters lose purchasing power, meaning they can’t qualify for as much of a loan. The consequence? Higher rates mean a smaller pool of potential homebuyers.
2. Affordable homes are in particularly short supply. “Affordable” varies by market. Below we show months of inventory for what is considered affordable, and inventory for more expensive homes.
3. Most of our markets are “Seller’s Markets.” Ask a Realtor if your home is in a buyer’s market or a seller’s market. We consider a buyer’s market to be more than six months of inventory and a seller’s market to be three months or less of inventory. Four to six months is a balanced market, favoring neither buyer nor seller. Location, price range and demand impact months of inventory. Months of inventory for all of our markets is shown on the Regional Activity Chart attached.
4. Home prices have appreciated in our region. Home prices have appreciated from 9% - 17% in our region over the past 5 years, and from 2% - 5% over the past year, depending on your market and price range. See specifics on our major markets below.
5. High buyer demand. Rising mortgage rates have pushed buyers into the market so they can lock in today’s still relatively low rates and afford more house. As of April 30, 2018, mortgage rates with no points were:
15-year Conventional Fixed......4.000%
30-year Conventional Fixed......4.500%
FHA/VA 30-year Fixed..............4.500%
5/1 ARM (Adjustable Rate Mortgage)..4.200%
2018 Forecast
Our first quarter sales were relatively flat compared to last year, due to a long, cold winter and to a shortage of affordable inventory. We still expect sales volume to be up 1% - 2% for the year and for homes to continue to appreciate.
About Ruhl&Ruhl Realtors
A family-owned company since 1862, Ruhl&Ruhl Realtors has grown to over 330 sales associates, 57 employees and 12 offices, selling more than 5,300 homes in 2017 in eastern Iowa, northwest Illinois and southwest Wisconsin. The company has residential sales offices in Bettendorf, Burlington, Cedar Rapids, Clinton, Davenport, DeWitt, Dubuque, Iowa City, Maquoketa and Muscatine, Iowa; and in Galena and Moline, Illinois. In addition to residential sales, the company offers services in relocation, property management, real estate investments, new home sales, farm and land sales, home vendor services, insurance services through the Nelson Brothers Agency, mortgage services through Ruhl
Mortgage, and commercial services through NAI Ruhl Commercial Company. For more information on Ruhl&Ruhl Realtors, visit their website at www.RuhlHomes.com.
###
