The Fed’s Decision & Local News
By Michae Ardolino, Broker-Owner, Realty Connect USA
On September 17, the Federal Reserve, citing issues of global economics, inflation, and the labor market, announced that there will be no September rate hike. An increase is still on the table for this year. The Fed meets again in October and December. For now, homebuyers can still lock in low-rate mortgages.
In Local Real Estate News:
- The number of home sales (sales volume) in Suffolk increased by 8.7% in August as compared to August 2014. Potential sellers, take note….
- The number of pending sales shot up by 14.1% in August over August 2014. With rate hikes constantly looming and prices on the upswing, buyers are realizing the urgency of taking action.
- In our area, we had an 8.4-month supply of inventory in August. This is close to a balanced market of 6-8 months. In recent years, our inventory was consistently in double-digit territory and reached as high as 18 months. The law of supply and demand is at work.
The modest price increases that we have seen for the last year or so are likely to continue. Our local market is right on track for its best performance since 2006, and I expect a strong finish to the year. Sellers, this is your best opportunity in a long time. Don’t squander it. Buyers, and move-up sellers, I strongly advise against waiting any longer. The climate of ultra-low rates, reduced prices, and excess inventory is fleeting…
All Rights Reserved. Copyright 2015 by Michael Ardolino.