Don’t Be Afraid Of Multiple Offers- Be Afraid of Rising Rates!

betting on interest ratesThe Wall St Journal is predicting rising interest rates, even though the rates are the lowest they’ve been in three months. This week. I have seen predictions of 5.35% by the end of 2014.  But right now, I am seeing about 4.5%.  What is that difference in house payment when comparing this rate difference for a median home price of $650,000 in San Jose?  About $300/month.  Over 10 years? (You get the picture.)  More houses will come to market this month and will most likely peak between May and July.   Meanwhile, average sales price is predicted to increase about 3% in that same time frame.  The $650,000 will be about $670,000 by summer.

Don’t be afraid of multiple offers. It is the norm.  Know your highest and best before ever writing the offer and you will avoid the stress and high blood pressure that can accompany 12th hour counter decisions.  Choose an agent active in the market, has a great reputation amongst agents, and knows how to be creative with terms. (I happen to know one.)  It takes talent, strategy, relationships, market knowledge, perseverance, and an agent who is committed to your goals of owning a home to get it done.  Contact me for a no-hassle no-obligation consultation.

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