After a rough few years in the foreclosure crisis, we are finally beginning to see an improvement in the real estate market. While we still have a long way to go to a full recovery, there are some positive indications that people are once again looking to buy and that lenders are getting back into the game.
Refinancing offers are expected to continue to flourish as homeowners take advantage of low interest rates. Many people are finding that refinancing their mortgage is a great solution for lowering their monthly payment, and fending off mortgage debt problems down the road. However, these low rates are expected to being rising soon after the election next month. Homeowners interested in refinancing should act fast to get in before the rates begin to increase.
Short sales have become one of the more popular foreclosure solutions in recent months as lenders begin to approve for defaulted and underwater mortgage holders for the process. New regulations will require Freddie and Fannie to streamline their proposal process, making it easier for buyers to have their bid accepted or rejected in a more timely manner. Reducing the wait times in the short sale process is expected to bring more buyers, ultimately relieving struggling sellers much sooner.
Renovations and rebuilds should also be increasing this fall, as well as into the spring of next year. Many people are opting out of selling their homes and are, instead, investing money into renovating their existing homes. Since home values have dipped in recent years, renovating is a good way for homeowners to put more equity back into their home for the long run. Renovated homes are likely to see a jump in value as the market begins to recover.