The Fed raises it's interest rates, the return on MBS (Mortgage Backed Securities) comes down and in turn the interest rate of mortgages comes down.
By Marisa Kendell
For the first time in years, (click here) the tables are starting to turn in the Bay Area’s insane housing market — as prices drop, some sellers have been forced to make concessions.
They’re chipping in to help pay closing costs and even to buy points to lower mortgage rates — all to convince increasingly reluctant buyers that the time is right to purchase a home.
They’re chipping in to help pay closing costs and even to buy points to lower mortgage rates — all to convince increasingly reluctant buyers that the time is right to purchase a home.
“I’m seeing sellers concerned about prices dropping,” said San Jose-based real estate agent Gustavo Gonzalez, who works with both buyers and sellers. While he said recent price drops have not been drastic, sellers are having to reset their expectations of what they can get for their property.
The change comes as June home sale prices dropped from the previous month in all of the five core Bay Area counties, according to new data from CoreLogic and DQNews. Meanwhile inflation and interest rates remain high, giving many potential buyers pause. But there’s no reason to assume the real estate market is about to come crashing down, experts say. After all, prices are still extremely high.....
The change comes as June home sale prices dropped from the previous month in all of the five core Bay Area counties, according to new data from CoreLogic and DQNews. Meanwhile inflation and interest rates remain high, giving many potential buyers pause. But there’s no reason to assume the real estate market is about to come crashing down, experts say. After all, prices are still extremely high.....
