The trend toward more standard sales and fewer distressed sales seems to be having an impact on prices. Short sales have fallen to 10% of the transactions and REO’s, which were at 60% in ’09 were just 3% in August. Standard sales rose from 31% in ’09 to 86% in August.
Mortgage rates are forecast to rise to over 5% next year, although they have gone back to around 4.3% the last few days. Still, all in all, that would be a great rate historically.
2014 prices are expected to increase 6% from this year. While certainly not the 25+% we have seen lately, still very good appreciation. Sales are also expected to increase to levels not seen in almost a decade.
