Rent Real EstateWichita, Kansas, Upbeat About Housing With Return Of Aircraft Jobs
During the last 18 months, Wichita has seen an increase in aircraft industry orders and real estate sales. Are these increases connected? Wichita real estate agents believe so.
"Sales continue strong in the Wichita, KS metro area. Interest rates are 6 percent for a 30 year/fixed rate lone. Well priced homes are selling in 60 days," says Realtor Wayne Short. "Since 2001, Wichita, KS has experienced significant lay-offs in the air craft industry. That trend started reversing itself in the last 18 months and with the recent sale of Boeing Civilian to ONEX corporation from Canada, and the increase in jet orders for Learjet, Cessna and Beech aviation, hiring has improved and should continue improving over the next few years."
He continues, "Real estate sales have actually grown every year since 2000. The low-low interest rates have been the main reason for this. Foreclosures and total listings on the market have also increased leaving the metro area in a balanced to buyer"s market. The Wichita metro areas average price for a home is $101,000 with the average price of a new home being in the $160,000"s. A home of $120,000 buys you a 1000 sq ft ranch with full-basement. You get Oak trim, 2 baths 3 bedrooms, 2 car garage and a rec room in the basement."
"While the 30-year fixed rate mortgage remains low averaging roughly 5.7 percent, according to a Freddie Mac survey, the average rate has jumped to 5.9 percent by August 2005. This upward trend is expected to persist through the year. The National Association of Realtors is currently forecasting the 30-year rate to rise to 6.7 percent by the end of the fourth quarter of 2005. As interest rates rise, demand for housing is pressing upward as potential buyers seek to lock in low monthly payments, relates Realtor Diane Jones.
Jones adds, "The local job market has shown solid improvements in recent months. Nearly 7,000 new jobs have been added to the Wichita economy in the past 12 months. The local housing market conditions have been much more impressive. First quarter 2005 sales were up 2.7 percent higher than 2004. The average price of $138,300 represents 11 percent one year price growth. The local market outlook calls for continued job creations. Expect about 10,000 new job over the next 24 months in the Wichita area."
And Realtor Alissa Unruh remarks, "Even with the craziness of sending the kids back to school, the Wichita, Kansas housing market still finds itself very strong. With a slight rise in recent interest rates it would be advisable to find your next home now and lock in before interest rates rise again."
"Buyers have many homes to choose from. Sellers have some serious competition, however. The average days on market is currently 90 days from list date to closing date. This is a city wide average and does vary throughout subdivisions and individual neighborhoods."
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