Rebound Expected in Real Estate (2007)

We should expect a rebound in Real Estate according to chief economist for the Mortgage Bankers Association, Doug Duncan. He expects the 30-year mortgage rate to hang around around 6.5 percent for the remainder of the year, but climb to 6.8 percent by the end of 2008. Duncan is positive about a bounce back in the housing market next year, citing still-low long-term interest rates, robust capital expenditures, and rising equity prices, among other factors.

Meanwhile, the National Association of Realtors expects existing-home sales to slip just above 6.4 million in 2007 from an estimated 6.47 million this year but recoil in construction will spark an 8.7-percent decline in new-home sales to 975,000 from 1.07 million over the same time span. Also the median resale price will likely edge up 1.7 percent to $227,500 next year, and the median new-home price is forecasted to climb 1.3 percent to $241,400.

To learn more about this expected rebound, click here. For all your Real Estate needs contact Nolting Real Estate at 636-391-9997.