With the start of the new year comes the start of a fresh real estate market (so to speak!). Here's a look at the top 5 trends for 2017:
1. More credit. This means, more buyers. Fortune Magaine writes:
Mortgage credit will likely be more widely available due to slightly looser lending standards... and the Federal Housing Administration will likely lower fees it charges first-time homebuyers.
2. Millennials and boomers will be big buyers. According to CBS news:
A number of factors are contributing to this generation's decision to start buying homes. More jobs are being created for 25- to 34-year-olds than any other age group, and wages are rising. Millennials are also reaching an age at which they're thinking about marriage and children. Baby boomers, the oldest of whom are entering their late 60s, are also looking to move as they reach their retirement years.
3. Competition will grow fiercer. Forbes writes:
In 2017 sellers will maintain the edge over buyers as demand is expected to increase. In 2016 the typical homes stayed on the market for just 52 days, about a week faster than in 2015 and the fastest year since Redfin began measuring in 2009. The brokerage expects 2017 to be even faster.
4. Homeowners could see their equity rise! AOL weighs in with:
While the National Association of Realtors is projecting a slowdown in home prices, other housing industry experts are taking a different stance. CoreLogic, for example, is forecasting a price increase of 5.2% through September 2017. If home prices increase at that rate or close to it, some homeowners could see their home equity rise.
Having more equity in your home is a plus if you're hoping to sell your home or refinance. The more equity you've built up in your property, the more you stand to make if you decide to sell your house. If you're refinancing to pull equity out of your home for a major renovation, a higher equity value will give you more borrowing power.
5. The market will continue to thrive! US New and World Report concludes:
The loosening of lending standards, expanding new home starts, increased equity and home values, and historically low mortgage rates will continue to fuel the real estate market throughout 2017. Optimism in the face of uncertainty may not always run hand-in-hand with reality, but today’s fears will be allayed by tomorrow’s victories.
Looks like a great year to consider buying and/or selling!
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