There is a lot of optimism in the air as we move into our selling season even though there is likely going to be a interest rate jump in April and home buyer tax credit expiration soon after. The likely hike in rates will be because Fannie Mae and Freddie Mac will stop purchasing mortgage backed securities next month. Also in the news is a lot of talk about what affect the next wave of foreclosures will have on prices… a wave we’ve been hearing about since last May but hasn’t showed up yet.
Santa Cruz statistics… yes January and February saw a 10% knock off the median home price for Santa Cruz county. A similar dip happened last year when the market hit “a” bottom. That just shows you how strong of a seasonal component we have here to our prices in Santa Cruz.
