According to a recent report by Trulia, asking home price gains slowed to 8 percent on a year-over-year comparison. The latest findings represents the slowest price appreciation rate in the last 13 months. However, on a historical comparison, 8 percent price growth is still a significant gain.
The slowdown in rising home prices could be a good sign for first-time homebuyers looking to break into the market and make a new home purchase. Trulia reported that no metro area has recorded prices gains of more than 20 percent since July 2012. A slower rate of growth could also indicate that the market is recovering at a more stable pace.
Another sign that the housing recovery is going smoothly is that mortgage rates have remained affordable for most homebuyers. According to Mortgage News Daily, the average rate for a 30-year fixed-rate mortgage has fallen between 4.13 percent and 4.25 percent for the week ending June 5. While mortgage rates have fluctuated over the past year, they have not stayed above 4.5 percent. With interest near record lows, now is a good time for homebuyers to apply for a mortgage.
To find out more about affordable mortgage options, contact the Federal Savings Bank, a veteran owned bank.