The likelihood that rates will dip just over a month from now could see buyers gear up to re-enter the market in September – but is there anything to be gained from making a move before rates drop?
Yury Shraybman (pictured top), of Innovative Mortgage Brokers, told Mortgage Professional America that the chance of an uptick in activity, and a possible return to greater competition and bidding wars once rates fall, meant buyers who were in a position to buy could benefit from doing so now.
For Shraybman, it’s a question of supply and demand. “Right now, the demand is still there. However, when the rates go down, I feel like the demand is significantly going to increase,” he said. “I don’t think anything [big] is going to happen with the supply because even people that are waiting to sell their property right now are going to need to buy another property.”
How could buyers benefit from pushing ahead with a purchase?
Home prices have leveled off in many markets since the recent downturn but could start to climb if activity intensifies, he added, while hopeful buyers are also likely to face an array of competing offers. “I feel like the prices are going to be much higher and the competition is going to be much higher,” he said.
“For example, about a year and a half ago in my area, sellers were getting about 10 to 20 offers on the house. Now with the rates being higher, that’s significantly decreased. But the bottom line is that they’re still getting the offers. People are still buying those houses.”
