The economy has come roaring back from the recession of 2008. We are seeing this strength in all sectors, and housing in Summit County is no exception. While we have yet to hit every peak of the pre-2008 summit County real estate records, we are pushing towards those numbers for the first time in a decade. This is remarkable as inventory remains at a record low and days on market are head-whippingly fast. While most economic forecasters expect the Fed to raise the rates two more time this year, in September and December, there is a rift on predictions for 2019.
A bump in the Fed rate can mean a bump in mortgage costs, making home purchases more expensive. Tracking the cost of borrowed money and staying in front of increases is a good way to help manage your future home purchase expense.
Speaking of the cost of credit, there is an interesting topic making the rounds of financial reporting that could have an impact here in Summit County. Money became more difficult to borrow for many consumers post- recession, as lending requirements became more rigid. Stated income loans, anyone? There seems to be a conversation beginning around making credit a wee bit more accessible. If we assume that the predatory loans don’t resurface, this could be a good way for new and less-than-perfect-credit rated consumers to get a foot in the door. As we often discuss in this space, Summit County has been progressive in the attainable housing realm, and more accessible credit would be another nice tool to have in this tool basket. Every bit helps!
We expect our big summer market will begin to wind down in the next month, as our sales trends have become fairly stable over the past decades. It’s not too late to secure your dream ski home before the season starts! Please contact any one of our Owner/Brokers at Breckenridge Associates Real Estate to learn more about our local market and the larger trends that impact us here at altitude. And to find your dream home, of course!