There are some changes coming in 2018 for the real estate market. One of the biggest changes predicted is that millennials will gain market share. Millennials currently dominate lower price home mortgages and are getting close to overtaking older generations for mid- and upper-tier mortgages. This will also impact the level of available inventory.
Check out this article below from realtormag.com that outlines the changes that are anticipated for the real estate market in 2018. After reading the article, give us a call at Carney Realty so we can discuss your housing needs in 2018. Whether you’re buying or selling, let’s work together to design a plan to meet your specific real estate needs.
Source: realtormag.com | Re-Post Carney 11/30/2017 –
Home shoppers may have it easier in 2018. Inventory constraints of for-sale homes and rising home prices may finally start to ease next year, according to realtor.com®’s 2018 National Housing Forecast.
“Next year will set the stage for a significant inflection point in the housing shortage,” says Javier Vivas, director of economic research for realtor.com®. “Inventory increases will be felt in higher-priced segments after spring home buying season, which we expect to take hold and begin to provide relief for buyers and drive sales growth in 2019 and beyond.”
But the big wild card for 2018 will be any impact from the proposed tax reform legislation, which is currently being debated by Congress, realtor.com® adds.
Here’s a closer look at realtor.com®’s five housing prediction trends for 2018:
1. Inventory to start increasing: Realtor.com® projects positive year-over-year inventory growth by the fall of 2018—which will be the first time since 2015. “Inventory declines are expected to decelerate slowly throughout the year, reaching a 4 percent year-over-year decline in March before increasing in early fall, after the peak home-buying months,” realtor.com® notes in its report. The cities expected to see inventory levels recover first are Boston; Detroit; Kansas City, Mo.; Nashville; and Philadelphia. The majority of this growth will be in the mid- to upper-tier price points (which includes homes priced above $350,000). On the other hand, recovery in the starter home market likely will linger since levels are “significantly depleted by first time buyers,” realtor.com® notes.