It is important to evaluate the direction of both house prices and mortgage rates by the end of 2013 to help us make timely decisions. Recently, five reputable groups have released their prediction as to what level of appreciation we could see by the end of 2013.
- Demand Institute Study: 1.75% appreciation
- Urban Land Institute: 2%
- Home Price Expectation Survey: 2.44%
- National Assoc of Business Economists: 2.8%
- Wall Street Journal’s Survey of Economists: 3.25%
As you can see, all groups projected an increase through the end of next year. The historic annual appreciation level of 3.6%, the rate prior to the housing bubble, still appears out of reach.
Equally important is predicting the appreciation of mortgage rates. The Mortgage Bankers…