2007, Winter Market News and Forecast
Housing market got buffeted in 2006, expected to stabilize in 2007; Market Watch
For many residential real-estate markets in the U.S., this year started with an advantage to sellers and ended with buyers holding the upper hand. But, unlike some people had expected, the switch didn't follow the deafening "pop" of a massive real estate bubble. That spells good news for both buyers and sellers in 2007, as markets return to balance, prices moderate and, if interest rates remain subdued, sales begin to edge higher. Many markets saw slower home-price increases and a build-up of inventory in 2006, much to the dismay of optimistic sellers. And while speculators -- investors who many argue are partially responsible for the massive housing boom -- tried to exit the market, buyers began waiting out the correction to get the best prices, causing a drop in home sales.
As Home Prices Fall, So Do The Closing Costs; The Day (CT)
Lately, buyers have gotten at least some relief from the skyrocketing cost of real estate. Similar relief could be coming from another less obvious, but significant, expense — namely, closing costs. Since some closing costs are tied to the size of the mortgage, and since average mortgage amounts are flattening — along with the housing market — closing costs could be falling, too, at least in some regions. Nationally, closing costs (also known as settlement costs) have been rising, according to a report earlier this year by Bankrate.com, which surveyed hundreds of lenders nationwide to find an average price for closing a mortgage for a newly purchased home
30-year mortgage rates rise after steady decline; Contra Costa Times
Rates on 30-year mortgages, after falling steadily for a month, edged up slightly this week but still remained well below the levels of a year ago. Mortgage giant Freddie Mac reported Thursday that 30-year, fixed-rate mortgages averaged 6.12 percent, up from 6.11 percent last week. Last week's rate had been the lowest level this year except for the week of Jan. 19, when the 30-year mortgage dipped to 6.10 percent. All mortgage rates except the five-year adjustable rate mortgage showed tiny gains this week, which economists attributed to conflicting signals from the economy.