Signs of housing market recovery

Several California neighborhoods are showing some signs of new home construction activity. Real estate agents are walking more prospective buyers through home for sale. Even though there were several falls starts recently, some life is seen in real estate activity. According to the National Association of Realtors,existing home sales reached a new high in January 2012. Based on January data, real estate experts estimate annual new housing construction including single family and apartments to be at 699,000 units. This indicates approximately 20% increase in housing starts. What causes these recent activities?

Mortgage interest rates are the lowest seen in decades.Even though the rates are rising, they still are at historic lows. The average 30-year fixed rate stands at 4.15 percent. The 15-year fixed rate is at 3.38 percent. The average 30-year jumbo, loans of over $ 417,000, stands at 4.73 percent. Rates are slightly different for each program and lender. If you are in search for a new mortgage loan, check with several financial institutions for a better deal.

The U.S. employers are creating approximately 200,000 new jobs a month. As a result, the U.S. unemployment rate dipped to 8.5% according to most recent data available.