SIOUX CITY, Iowa (KCAU) – While COVID-19 created new hurdles for real estate agents to clear, there’s no better time to start looking for a new home.
“As soon as people got comfortable that things were under control, the market really took off. I’ve been doing this for almost thirty years, and these are the lowest rates I’ve ever seen,” Kevin McManamy, President of United Real Estate Solutions said.
“The housing market in all ranges are all at historic lows,” Tricia Frederick with Heritage Bank said.
Siouxland’s housing industry continues to boom amid the pandemic, and record-low mortgage rates are making for even fiercer competition.
“Homes are going quickly, and homes are sometimes going for above asking [price]. It’s not uncommon now to see multiple offers up on that first day,” Christopher Krueger with Central Bank said.
The average rate on a 30-year fixed-rate mortgage fell under 3 percent this week–the first time the rate has been that low in fifty years.
“So, any time you can get close to a rate like that, you’re really getting free money when you look at it in terms of the cost of living,” Frederick said.
“If somebody were to purchase a $200K, or had a $200K mortgage, their payment would be about $92 cheaper today than it was a year ago,” Krueger said.
Despite the lower interest rates however, future homeowners should still take all the preliminary steps to ensure they’re able to buy their dream home.
“It’s very important to be qualified and know exactly what you can afford, and what you can be shopping for, that way there’s the risk of coming into homes unnecessarily is kept low,” Frederick said.