INDIANAPOLIS — According F.C. Tucker, 2024 is bringing good news for potential home buyers.
Experts say interest rates will continue to decrease and more houses will go on the market.
In 2023, mortgage rates jumped over 8% but in December, decreased to just over 6%.
"We think the federal reserve is going to continue lowering these rates and it may not be right away, but when we get to the summer months, we’ll see mortgage rates back in the 5% range," Jim Litten, CEO of F.C. Tucker, said.
READ MORE | Inflation rate ticks up in December despite high interest rates
Litten says that will make the market easier for first time home buyers.
"There are a lot of first time home buyers that are priced out of the market. In fact, recent statistics show that 38% of first time home buyers want to buy a home but can’t. I think that’s what you’re going to see fuel this market," Litten said.
On Wednesday afternoon, Devon Neidenthall was closing on his first house in Fishers.
"It’s pretty cool I must say," Niedenthall said.
Niedenthall says the process took a few months.
"I got a pre-approval and from there on out, it was like, 'Well might as well look at this one, look at that one,' and the next thing you know, you’ve looked at 20-50 houses," Niedenthall said.
READ MORE | Mortgage applications see spike in the first week of 2024
Litten says prospective home buyers will also find more on the market this year. A lack of inventory has been an issue in central Indiana.
"A normal supply of homes in the real estate market is usually a four to six month supply," Litten said. "In the central Indiana market for the last three years, we’ve had a one month supply so homes are selling very quickly."
