In The News: Fear of Interest Rate Hikes In 2014 Spur Holiday Sales in Sacramento Housing Market
On January 5, 2014 the Sacramento Bee Newspaper reported that local home builders saw an unexpected surge in home sales over the holiday period that just completed. The jump in home sales during the holiday season came after a several month slump. Barry Grant, the Northern California President for Meritage Homes, is quoted in the article indicating his company had great December sales.
What is the reason for the increased sales in homes at the close of 2014? The article indicates the reason is feat among home builders and home buyers that interest rates will rise in 2014. That leaves both groups eager to make deals. The article also says home prices will continue to rise in 2014, but at a slower pace than they did in 2013.