According to Freddie Mac, long-term mortgage rates have continued to decline, which is good news for the real estate market!
An article in the Houston Chronicle stated:
Mortgage rates began rising significantly in September, bringing fears in the Houston market as the region’s sales fell 6 percent from the year before.
But in mid-November, the trend reversed, and now the average rate for a 30-year fixed-rate mortgage is back at 4.55 percent, about where they were this past summer, “which was before the deterioration in home sales,” wrote Freddie Mac in its most recent mortgage market survey.
As mortgage rates have edged down, Houston-area home sales have edged up, except for homes in the lowest price bracket, which have become harder to find. Inventory of homes priced under $200,000 was less than three months in November. Homes in that range sold in fewer than 48 days.
“The Houston housing market remains on track for another record year, which was an almost unimaginable concept when the year began, on the heels of so much devastation from Hurricane Harvey,” 2018 HAR Chair Kenya Burrell-VanWormer of JPMorgan Chase said in the report. “As 2018 draws to a close, we see slow but steady growth in the supply of housing as well as a strong job market, which together make for a healthy real estate climate.”