Lower mortgage rates prompt spike in San Diego home sales

Lower mortgage rates prompt spike in San Diego home sales

A steady decline in mortgage rates over the past year has led to a significant increase in home sales in San Diego County. According to new data from CoreLogic, sales shot up 14.7 percent in September compared to a year ago.
The 3,393 home sales in the region during the month is up from 2,959 in September 2018 with median sales prices dropping to $570,000 to $575,000 over the same period.
Mortgage rates have dropped nearly a full percentage point since the fall of 2018, leading to an influx of home purchases and refinances. In the past week, rates have declined another .125 percent after bond friendly remarks from Fed Chairman Jerome Powell. Even slight decreases in mortgage rates can save buyers hundreds of dollars on their monthly mortgage payment.
Meanwhile, conforming no-point 30-year fixed mortgage rates are averaging 3.75 percent and 15-year rates are near 3.125 percent.
Do you have a question for Real Estate & Mortgage Analyst Mehran Aram? Submit your queries about a home purchase, refinance, or reverse mortgage via Aramco.Biz, social media (#AramcoReport), or over the phone at (866) 381-8888 and your questions may be featured in an upcoming article.