There are several important factors you should consider before you refinance your mortgage this year, including current rates and your financial situation.
There have been a lot of developments over the recent past that are relevant to home buyers in Washington. This article will help get you up to speed on buying a home in Washington in 2021.
In This Article:
- Must-Read Mortgage Articles for Washington Home Buyers
- An Update on Mortgage Rates and Housing Trends
From mortgage rates to home prices, we’ve seen quite a bit of change across the real estate industry. So let’s get caught up! Here’s a curated list of our best articles for those who are planning to use a mortgage loan to buy a home in Washington in 2021.
Must-Read Mortgage Articles for Washington Home Buyers
A congressional tax committee released a report that showed fewer homeowners in Washington and nationwide will use the mortgage interest deduction in 2021. Most of the benefits will go to wealthier households. This is a story we’ve been following, and writing about, for months.
According to recent forecasts, three Washington cities have seen big home-price gains of any major metro area in the U.S. Bremerton, Spokane, and Tacoma made the list of top-appreciating housing markets.
House values across Washington State have risen steadily so far in 2021, and tight inventory in many markets across the state is playing a big role. Limited inventory increases competition among buyers.
According to surveys conducted by the Mortgage Bankers Association, a higher number of home buyers in Washington and nationwide are using adjustable / ARM loans to buy a house. But the 30-year fixed-rate mortgage is still the most popular product by far.
This article is a must-read for Washington home buyers who need to use a mortgage loan to finance their purchases. It explains some of the common requirements borrowers encounter when applying for a home loan in Washington.
An Update on Mortgage Rates and Housing Trends
The articles above offer a good update on real estate and mortgage trends in Washington. So they make excellent reading material for anyone planning to buy a house in Washington in 2021. For those in a hurry, here’s a recap of the biggest stories, tends and developments.
Washington real estate and mortgage trends as of spring 2021:
- Mortgage rates have been dropping for the past year and a half, giving home buyers incentive to buy to save on interest and homeowners to refinance at lower rates. As of the end of March 2021, the average interest rate for a 30-year fixed home loan was hovering at 3.17%. Experts believe they will remain low over the coming months.
- Home prices in Washington have climbed steadily. The median home value for the state rose to around $478,015 in March 2021, marking an increase of 13.3% over the same month in 2020 (source: Zillow). The median price is much higher in Seattle, where it is at a staggering $816,718.
- Low inventory is still the big story in housing markets across Washington. There just aren’t enough homes listed for sale to meet the level of demand from buyers. This is leading to multiple-offer situations, bidding wars, and rising prices. Inventory is tightest in the Seattle metro area, but it’s an issue affecting the state as a whole.
- COVID-19 has had a major impact on housing markets in Washington. Having said that, the Washington State housing market has been among the hottest in the entire country. Inventory cannot keep up with demand, which is why we have seen skyrocketing home prices over the past year in the state.
Need a Home Loan in WA?
Sammamish Mortgage has been helping Washington home buyers and homeowners with their mortgage needs since 1992. We’re a family-owned business based in Bellevue, WA, and provide mortgage programs to borrowers in Washington, Oregon, Colorado, and Idaho. Please contact us if you have financing-related questions.