Good news for California homeowners — the latest REALTORS Confidence Index predicts our state will see some of the most robust home price increases in the nation over the next year. The report, based on surveys sent to more than 50,000 real estate professionals, anticipates an upward bump in California home prices of between 5 and 7 percent. Only five other states had such an upbeat forecast — Hawaii, Georgia, Oregon, Nevada and Florida.
Overall, the REALTORS Confidence Index predicts American home prices will go up about 4 percent in the next 12 months. The majority of states are expected to see an increase in home prices of between 3 and 5 percent. The Confidence Index expects 14 states will see increases in home prices of less than 3 percent.
A recent article in the Sacramento Bee states that homes in the Sacramento area are selling quickly, spending an average of about six weeks on the market. Meanwhile, the average price of a home in Sacramento County and El Dorado County is up to $300,000, the highest since before 2008. That means if you've been thinking about selling your house, it's not a bad time to test the market.
Low interest rates also make it a favorable time to consider buying a home. In the week ending May 2, rates averaged 4.43 percent for a fixed 30-year mortgage, according to the Mortgage Bankers Association (MBA). The MBA says that week it saw 9 percent more loan requests for new mortgages compared to the previous week.
If you're interested in selling your home or a buying a new one in Sacramento, Placer or El Dorado County, contact Jon Hesse, one of the area's top real estate agents.