Buyer competition’s influences mortgage trend

HARRISONBURG, Va. (WHSV) - Houses on the market are even harder to hunt down for some as the lowest market value is generally in the 200-thousand-dollar range. Alcova Mortgage says the persistent inflation is keeping mortgage rates higher but buyer competition remains strong.

Branch Partner David Bates projected market changes indicate that buyer competition is sticking.

“As the fed is hiking federal funds rate, that is viewed as fighting inflation so we’re expecting mortgage rates to come back down this year, which is probably going to make the buyer competition a little bit more fierce than it already is,” Bates said.

The Federal Housing Financing Authority reported a 0.2 percent increase in median sales month-over-month Tuesday morning.

The mortgage lending firm recommended it is best if someone knows the area and market value. Bates’ experience advises prospects that keeping the team, your realtor and broker local helps you beat the buyer competition.

“Work with someone local who knows the market. Go ahead and do yourself a favor; get yourself a full pre-approval, not just a prequalification, which is something we do for everyone here, upfront, at ALCOVA,” Bates said.

New listings are expected to come for both the spring and summer markets. Bates says checking that you are in a good place before shopping helps you out.