High Levels of Home Affordability Won’t Last, Zillow Reports

Home affordability has driven the housing market for several years. The low interest rates combined with lower home prices since the bubble burst, which has allowed new home buyers to find great deals. Unfortunately, the ability to find affordable houses is starting to change as the prices and interest rates continue to rise.

The recent Zillow Report analyzed information from historical trends, recent activities and the changes in interest rates. The findings of the report are not surprising to buyers in some areas, but it can seem shocking to those where the markets are slightly slower. Expectations for the housing market suggest that the affordable housing prices will continue to rise over the next few quarters.

Although the housing bubble burst and left many homeowners with properties that were no longer as valuable, the changes allowed new buyers to get great deals. Along with the low home prices, buyers were able to lock in low interest rates.

Since the expectations for the future are that the prices will continue to increase, it is a good idea to buy a house before the prices are no longer affordable. To learn more about buying a home, contact Judy Qualls.