The housing market may be thawing as mortgage rates have dropped, and listings inch higher. According to Zillow, mortgage rates fell to 3.75% in April resulting in buyers having more buying power. In addition, Stacked, an online brokerage, reports the number of new home listings increased nine percent in April compared to March.
As demand rises, more sellers are incentivizing buyers by offering sizable discounts, such as closing costs or warranty upgrades. In particular, Zillow found that home buyers in the West and Midwest regions received the highest discounts, averaging 4.1% and 3.1% of the list price, respectively.
Overall, the combination of lower mortgage rates and more buyer incentives indicates that the housing market may be starting to thaw. With more listings becoming available, potential buyers now may have better opportunities to find their dream home.
