April 2021 National Market Update with Top Realtor Kimmy Rolph is a guide to what is anticipated in April regarding national home prices and borrowing rates. Are all of the forbearance properties going to cause a market crash similar to what we had in 2008. As of February 14th, The Mortgage Bankers Association has information on this. And it looks like we are in pretty good shape. 84% of people who entered into Forbearance are either out of it or working through it to set up repayment plans. 50.8% are paid in full, 33.6% worked out a repayment plan and only 15.6% are still in trouble. It’s important to understand what’s happening with Forbearance. And the numbers since may are continuing to go down and as of now there are only about 5.22% of all mortgages are in Forbearance. So we keep hearing all this information in the news about how we are going to crash because Forbearance is so high, but if you look at the true facts, that just isn’t true. For 2021, according to all of the experts they are forecasting an increase of 5.9% on average, for appreciation in home prices for 2021. Also, there is concern from various news sources when we see headlines that the market will crash because of home prices increasing so quickly. However, if we compare the Average Price in home appreciation from 2002 to 2005 leading up to the 2008 crash, the average annual appreciation was 10.3%. If you look at now, from 2017 to 2020 the average annual appreciation for home prices is only 6.3% which is drastically less. A very very different situation today. It’s easy to jump to conclusions based on slight increases in mortgage rates, but here on The Main Line, the market could not be stronger. We are in a unique position of having a stable market, even in unstable national conditions. If you are considering selling your home on The Main Line and would like an accurate and risk-free evaluation of what it could be worth on today’s market, please reach out. Did you find April 2021 National Market Update useful? Subscribe to our youtube! Kimmy Rolph Sells Luxury on The Main Line.
