It’s March Madness!
Jalen Lake, Colorado State Rams, #15
Shout out to Destanie’s nephew, Jalen Lake. Congratulations to him and the Colorado State Rams for making it to the NCAA Tournament this year. Jalen hit a clutch 3-pointer at the end of their game against Maryland but lost to a buzzer beater shot. Click the photo to watch the games finish!
As March Madness captivates basketball enthusiasts nationwide, the real estate market is experiencing its own form of excitement. Historically, the onset of spring heralds a surge in home-buying activity, and this year appears to be no exception (thank goodness!) According to the National Association of Realtors (NAR), pending home sales—a forward-looking indicator based on contract signings—increased by 2.0% in February, signaling a potential uptick in market momentum as we enter the spring season.
Despite this positive movement, the market continues to grapple with elevated mortgage rates. As of March 20, 2025, the average rate for a 30-year fixed mortgage stands at 6.67%, a slight increase from the previous week's 6.65%. While these rates are significantly higher than the sub-4% levels seen in recent years, they have shown relative stability over the past month, providing a measure of predictability for prospective buyers.
The interplay between rising mortgage rates and home prices continues to challenge affordability. The NAR reports that the median existing-home sales price has reached $393,500, marking the ninth consecutive month of year-over-year price gains and setting a new record for March. This trend underscores the persistent demand in the housing market, even amidst financial constraints.
In response to these conditions, some buyers are exploring alternative financing options. For instance, certain real estate investors are turning to private money lenders, accepting higher interest rates in exchange for expedited loan processing. Some home buyers are even able to find themselves in favorable lease-to-own or seller financing options. This strategy enables them to remain competitive in a fast-paced market, highlighting the diverse approaches buyers are adopting to navigate current challenges.
As you immerse yourself in the thrilling upsets and buzzer-beaters of March Madness, consider the parallels in the real estate arena. Just as in basketball, success in today's housing market demands strategy, agility, and a keen understanding of the playing field. So, whether you're cheering for your favorite team or contemplating a move, remember: staying informed and adaptable is key to coming out on top. And remember, no matter where you are in your home buying journey, your Pelton Sykes Real Estate Team has your back!