Average rates for 30-year and 15-year fixed mortgages are at a record-breaking low for the third week in a row, as foreclosure filings also dropped. The numbers are a significant sign that the housing market is in fact recovering. Lenders are finding alternatives to foreclosure through short sales (selling underwater property for less than the amount owed) or through loan modifications, thus reducing the number of foreclosures on the market. As a result, there is less inventory that is "propping up prices."
The average rate on 30-year homes is now at 3.79%, while a 15-year mortgage declined to 3.04%. Lower mortgage rates have boosted builder confidence, as construction for both single-family homes and apartments rose. But despite better rates, homebuyers are still having to cough up a hefty down payment of around 20%.
In California (which was severely hit by the housing crisis), home prices rose 0.6% in March from the previous month, while short sales have been preferential to foreclosure.
In Northeast Los Angeles areas such as Echo Park, inventory of both single and mult-family homes are low. There are a lot of buyers, and Los Angeles real estate trends are indicating that sellers are getting multiple offers, and accepting offers above asking price.
Call or contact us today if you're looking for buyers in Northeast Los Angeles, including Atwater Village, Echo Park, Eagle Rock, Glassell Park, Highland Park, Lincoln Heights, Los Feliz, Mt. Washington, Silver Lake, and Montecito Heights.