Check out the latest economic news from Stephen Chow, Mortgage Broker, Sterling Bank on his Inside Lending Newsletter. Words from Stephen:
Fannie Mae projects overall economic growth to rise from 2.6% in 2013 to 2.9% in 2014, with housing’s contribution expected to double from 0.3% to 0.6%. Fannie Mae economists also expect a modest rise of about 2% in existing home sales for the year, and a strong 20.2% gain for new home sales.
Nationally the median price for an existing home will go up 6.7% on an annual basis, to $208,000, while the new home median price is expected to rise 6.8%, to $283,000.
DID YOU KNOW?
A National Association of Home Builders survey reported that in 2013 the average new home was 300 square feet larger, at 2607 square feet, but the average lot shrank from about a half-acre to one-third of an acre, compared to 2011.
Forecasting Federal Reserve policy changes in coming months…
Economists expect the Fed’s super low Funds Rate to stay where it is for a while longer.