Well, this week has certainly been a busy time both locally and nationally in the housing market. We are seeing how volatile the market really is. First, the Herald Leader reported that permits on new homes in Fayette County and six surrounding counties have dropped over 43 percent from 2007. This shows how the new construction market has gone into a downward spiral. Builders are no longer building spec homes but instead are waiting for buyers to purchase the home and then they begin construction. This may help those trying to sell existing homes since most buyers need to move in a timely manner.
Secondly, as you may have heard the government has taken over Freddie Mac and Fannie Mae. With the government controlling these entities it has once again instilled confidence in lending. With this take over mortgage interest rates have dropped significantly. This should spur some action in the real estate market. According to many lenders rates should stay down in the 5 to 6 point range for some time.
This is a great time to buy if you have been contemplating it and waiting for the right time. Please give The Melinda Duncan Team a call at 859-422-2035 if you have any questions.