Conservative View of 2014
The tide is changing in Jim Belote's Mortgage Matters newsletter.
As you read the latest update, it appears that Jim's sources cause him to feel that 2014 won't have the strenght fo 2013.
Jim doesn't say directly that 2014 will be weaker than 2013, only that price appreciation won't match 2013 and interest rates will rise. In fairness, he notes "Admittedly, we've been talking about a price slowdown for some time, and yet the data from the major home-price aggregators has contradicted us. Are our eyes lying?"
Personally, I see Hampton Roads continue a trend of improving values. Last years, homes from $350,000 and lower reaped the most benefit from the improving housing market. In 2014, I expect the improvent to rise into the $350,000 to $500,000 range.
The reason for the improvement will be simple. As home owners have seen and will see their homes up to $350,000 sell in 90-120 days, these sellers will come to buy the $400,000 to $500,000 homes that languished in 2013. As higher price ranges have seen unequal improvement, the top level of the improvement could surprise us all and get in the upper tier of Hampton Roads homes.
Time will tell who is right!!!!!