I Am Back
After a three month hiatus due to the COVID virus and my Coldwell Banker office being shut down, my Market Watch is again being forwarded to you. I do hope you find the information in each issue insightful and helpful. And as always, I am always available to answer your questions, or assist in your real estate needs.
Showings And Open Houses
One of the questions that is being asked is what is going on with home showings and open houses? As of June 15, agents can do open houses for clients. Agents and guests must wear face masks, practice social distancing and follow the indoor capacity limit of 25 percent of a room’s capacity and never more then 50 people. For showings, agents can do on-site showings with clients on a 1 to 1 basis and with immediate family members. Masks are required. I also suggest booties and gloves as well for showings and open houses. Of course, it is always up to the homeowner as to their preferences with both showings and open houses.
Mortgage Rate Update
There has been significant changes in mortgage rates since the last Market Watch. Rates at that time hovered around 3.5 percent. But now they are much lower. As of June 11, mortgage buyer Freddie Mac reported that the average rate on the benchmark 30-year home loan was 3.21 percent. Last year at this time the rate stood at 3.82 percent. The average rate on a 15-year fixed-rate mortgage was 2.62 percent.
According to some analysts, the rates could even go lower. Federal Reserve Chairman Jerome Powell has been sounding the alarm about the potential for further damage to the economy from the coronavirus pandemic. He is worried about the possibility of a second round of infections which he fears could bring a longer and more feeble recovery.
These words have helped push mortgage rates to all time lows and the Chairman’s statements could keep rates heading downward. That would mean even better deals for borrowers buying homes.
Still A Seller’s Market
Yes, the market is still in the seller’s favor with the supply of homes still very tight. As of last month there was only a 3.05 month’s supply of available homes in Bridgewater, 4.0 in Branchburg and 3.21 in Hillsborough. And sales data shows it. In Bridgewater, for example, 69 percent of homes sold last month were off the market in under 30 days. In Branchburg the number was 67 percent and in Hillsborough 52 percent. Priced right, moving fast.