Home buying boom tells status of Fargo-Moorhead marketFargo, ND (WDAY TV) - Local mayors declared June home ownership month today, urging people to take advantage of historically low interest rates.
By: Becky Parker, WDAY
Fargo, ND (WDAY TV) - Local mayors declared June home ownership month today, urging people to take advantage of historically low interest rates.
With many homes listed and even more under construction, there is plenty to choose from, but you have to be quick.
Local realtors say they are swamped, in a good way. Homes in the metro are barely listed before offers start coming in.
City leaders are urging more people in Fargo-Moorhead to ditch their rentals and buy a home amid an already booming market.
Jenny Schuster, Park Company Realtors: "People are just coming in. A lot of us even say, 'Where are all these people coming from?'”
There are currently 678 homes on the market and they're going fast.
Jenny Schuster with Park Company Realtors says it's risky to even sleep on a decision. Homes are getting sold in a day.
Schuster: "If something is priced correctly, it is going to sell. There's a lot of people that are overpricing their home right now, hoping to capture some of those buyers, but they have to know that the appraisal value has to meet that price."
And there are plenty more new homes going up. In 2012, construction began on 945 homes in the metro area, up from 612 in 2011.
Schuster: "That's a pretty big increase that we're experiencing and it looks like 2013 will also be a great year."
One thing driving home sales is the low interest rates. At one point, they were as low as 3.75% but have since climbed a little to 4.25%.
Schuster: "It is so affordable to own a home. I mean, with the fixed mortgages, it's almost as cheap or affordable on some homes as having an apartment."
Home-ownership rates in the metro area vary from just 45% in Fargo to 71% in Dilworth.