Bobbie's Corner
The US Real Estate Forecast 2018 to 2020
Taken From: http://gordcollins.com/real-estate/us-housing-market-looking-strong-2016-to-2020/
The fall of 2017 and the
2018 real estate
season should be interesting times. Prices may have peaked, but there are those who feel they could go higher. While others suggest a crash is imminent.
US Home Prices
are still heating up due to lack of houses for sale. Its a national problem that’s been brewing for 7 years and it’s the worst for
California
.
Experts predictions are mostly rosy
forecasts
of most markets. It’s happy times for sellers putting their house up for sale, but tough shopping for home buyers and investors.
Most real estate sales and
real estate investment
experts are predicting a strong year ahead for
US housing in
2018 and for the next 5 years.
The newly released 2018 Forecast from Freddie Mac predicts a good year ahead with a solid
5% growth in price nationally
. They note that the aging population could keep demand subdued although limited housing for sale should create upward price pressure. The need to refinance is low, homeowners aren’t too stressed out, and they’re using home equity to buy things which is good for the economy. Overall, Freddie Mac’s report is positive for 2018.
Here’s 7 Reasons Why People Are Still Eager to Buy Real Estate:
1. home prices are appreciating
2. millennials need a home to raise their families
3. rents are high giving property owners excellent ROI on rental properties
4. flips of older properties continue to create amazing returns
5. real property is less risky (unless you get over leveraged)
6. the economy is steady or improving
7. foreigners including
Canadians
are eager to own US property
Latest real estate market reports:
Here’s a short list of positive factors that will affect the US Housing Market 2017 and beyond:
1. moderately rising mortgage rates
2. president Trump’s new tax plan
3. low risk of a housing crash for most cities
4. millennials buyers coming into the main home buying years
5. a trend to government deregulation
6. labor shortages pushing up costs of production and incomes
7. the economy will keep going – longest positive business cycle in history
The repatriation of business, investment and jobs back to the US may come with a big price — a high dollar and strong inflation. That will drive prices higher for houses for sale.
