Buying Remains Cheaper Than RentingAugust 17th, 2018The latest Rent vs. Buy Report from Trulia shows that homeownership is still cheaper than renting in 98 of the 100 largest metro areas in the
Gap Between Homeowners Appraisers Narrows To Lowest Mark In 2 Years
In today’s housing market, where supply is very low and demand is very high, home values are increasing rapidly. Many experts are projecting that home values could appreciate by another 4% or more over the next twelve months. One major challenge in such a market is the bank appraisal.
When prices are surging, it is difficult for appraisers to find adequate, comparable sales (similar houses in the neighborhood that recently closed) to defend the selling price when performing the appraisal for the bank.
Every month in their Home Price Perception Index (HPPI), Quicken Loans measures the disparity between what a homeowner who is seeking to refinance their home believes their house is worth and what an appraiser’s evaluation of that same home is.
In the latest release, the disparity was the narrowest it has been in over two years, as the gap between appraisers and homeowners was only -0.5%. This is important for homeowners to note as even a .5% difference in appraisal can mean thousands of dollars that a buyer or seller would have to come up with at closing (depending on the price of the home)
The chart below illustrates the changes in home price estimates over the last two years.
“Appraisers and real estate professionals evaluate their local housing markets daily. Homeowners, on the other hand, may only think about their housing market when they see ‘for sale’ signs hit front yards in the spring or when they think about accessing their equity.”
“With several years of growth, owners may have more equity than they realize. Many consumers use the tax season at the beginning of the year to reevaluate their entire financial life. It also provides a good opportunity for them to consider how best to take advantage of their equity while mortgage interest rates and borrowing costs are still near record lows.”
With my expertise in realty for both buying or selling a home in San Antonio, and surrounding areas. You have found the right resource for your real estate needs. Whether you are looking for a new hom....
Latest Blog Posts
The Cost of Waiting: Interest Rates Edition [INFOGRAPHIC] Friday August 17th, 2018 First Time Home Buyers, For Buyers, Infographics, Interest Rates, Move-Up
Housing Market: Another Gigantic Difference Between 2008 and 2018 Thursday August 16th, 2018 First Time Home Buyers, For Buyers, For Sellers, Housing Market Updates,
Homebuyers Willing to Sacrifice ‘Must-Haves’ in Favor of Good School Districts Wednesday August 15th, 2018 First Time Home Buyers, For Buyers, Generation X,