The past few years in real estate have been indecisive.

We’ve experienced everything from high foreclosures to low inventory.

What’s in Store for 2014?

According to Forbes, now is the time to buy that second home you’ve always wanted (perhaps a nice bungalow in sunny Southwest Florida?) or purchase your first home without getting into a nasty bidding war.

Qualified Mortgages (QMs)

The Dodd-Frank Act took effect on Jan. 10 to prevent future housing catastrophes and there are some strict title requirements for borrowers seeking QMs.

Now lenders will be taking a closer look at your debt-to-income ratio. And according to the new rules, borrowers cannot have a debt to income ratio over 43%.

Except Interest Rates to Climb

According to Forbes, most experts agree that mortgage rates are going to go up, as they already have in the past three months.

In an effort to keep mortgage rates low, new Federal Reserve chief Janet Yellen is expected to continue buying chunks of mortgage-backed securities like her predecessor Ben Bernanke did in the past. However, the Fed has considered tapering its bond-buying activity as the economy recovers, which could lead to a slight increase in interest rates, expected to surpass 5% in 2014.

Affordability Isn’t Going to Look So Hot

The National Association of Realtors’ Home Affordability Index, which compares home prices with income, found that home affordability dropped to a five-year low in 2013 as increases in home prices overtook income growth.

Jed Kolko, Trulia’s chief economist and vice president of analytics, told CBS MoneyWatch that he thinks the declining rate of homeownership is also due to a large drop-off in first-time buyers.

It Will be a Good Time to Buy that Second Home

Inventory is rising around the country and especially in sunny Southwest Florida so if you’ve always dreamed of owning a second vacation home minutes away from the, click on to our Community Page to browse all of the luxurious homes that the sunshine state has to offer.

Prices Will Increase…But At a Much Slower Rate

This is good news for buyers who don’t like bidding wars. And who really likes them anyway?

According to Clear Capital, a provider of real estate analysis, on a rolling year-over-year basis through September 31, 2013, home prices rose in 241 of the 276 metropolitan areas that they track. On average, prices nationwide rose by 10.9%, pushing the median price for existing homes up to $215,000.

The market isn’t back…yet…but it’s getting there.