June is National Homeownership Month. According to Minneapolis Area Association of REALTORS, Minnesota’s overall home ownership rate now stands at 77%. Unfortunately, the home ownership rate for minorities is still well below 50%. Each year more Minnesotans purchase their first home and REALTORS such as myself are glad that we are able to help them achieve their dreams. While low interest rates have helped the last few years, there are still many people renting homes that could be owning homes with the right assistance. We can all work harder to help those around us succeed if we just take a few moments to show them that we care.
If you read the latest statistics from the Minneapolis Area Association of REALTORS, you will see what appears to be the formation of a maximum in the New Listings and Pendings (offers accepted) data. In a typical year, new listings and offers both begin to slow down as the summer approaches. Last year, the entire summer stayed strong due to the low interest rates. It’s uncertain whether or not this will continue this year or if we will fall back into a more “normal” summer. Interest rates haven’t moved much since last month and the job market outlook is improving so all the signs point to a relatively strong summer season.
If you’ve been thinking about waiting until fall to find a home, consider this: if rates move from their current 6.25% up to 7% by fall, your monthly payment will go up by MORE THAN 10%.