We are all more than glad to see 2009 come to an end. From the poor economic climate and credit crisis to the struggling housing market, 2009 doled out its share of frustration and heartache.
However, 2010 may finally give us a chance to pick ourselves up, dust ourselves off and move forward. In fact, it just may be the year to buy a house.
Home values have fallen back down to 2003 levels; mortgage rates are near historic lows; the government has extended the home buyer tax credit and opened it up to nearly all homeowners; and the foreclosure crisis has opened up some fantastic opportunities for home buyers.
There is one thing, however, that will certainly not change in the North Texas real estate industry, as well as across the United States: the credit situation.
In short, lenders are simply not going to open up their doors to anyone with less-than-perfect credit. In particular, don’t expect to secure a new home in North Texas unless you have a secure, stable job and a stellar credit report.
Other Trends we can Expect in the North Texas Real Estate Market in 2010:
- Home prices will bottom out – If you’ve been one of those buyers waiting for prices to go lower, you may be waiting a long, long time. After the decline of home prices for nearly two years, it looks as though home prices will finally bottom out during the first half of 2010.
- Foreclosures will continue to rise – With falling home prices and a tough job market, mortgage delinquencies are expected to continue.
- More expensive homes will hit the foreclosure market – One of the biggest trends in foreclosures in 2010 will be the jump in foreclosures among the highest priced homes.
- Mortgage rates will rise – Although mortgage rates will remain quite attractive in the upcoming year, they will not be at the rates we saw in 2009. Expect mortgage rates for a 30-year, fixed-rate mortgage to be about 5.5 percent by mid-year and about 6 percent by year’s end.
Tags: Mortgage