Real estate trends in 2017
During the 2016 many ugly things have shown its heads and caused collapse throughout the entire world. Housing market was not immune to such influences and has taken a very big hit. World events impact the economy, the stock market, the money flow and all of that leaves its trace. During 2016 there wasn’t enough houses on the market for the interested buyers, prices continued to rise and in addition, and this came as a surprise even for the experts, mortgage rates were as low is 4%, which is something that hasn’t happened in a couple of years. The market simply couldn’t stand on its own two feet, and the more it kept trying, the more it collapsed. But the year 2016 was devastating for so many areas that being defeated became defaulted. Some even say that it went much better than expected, and were optimistic about real estate trends in 2017.
Now, the 2017 has began, the biggest event has passed, elections are over and now millions of millennials are looking for their new home. Will they be able to find it? Will they be able to afford it? And what about interest rates? What if the market collapses again? There is one too many questions right now in the head of anyone impacted by the world of real estate (better said:everyone) and we wouldn’t be so arrogant to say that we know all the answers. But throughout this article you might find out how is the situation in the housing market in 2017 and go from there.
1. Rates just keep rising: real estate trend in 2017
During 2016 the interest rates have risen, which came as a surprise because they don’t often do that. In fact this was merely the second time that the Federal Reserve has done in the last 11 years. But, here comes more trouble, they are predicted to rise even more during the 2017. Of course, this is not an isolated event, interest rates rising is causing mortgage rates to rise and this creates a situation where homes become a tad bit less affordable. Or better said, the dream keeps getting harder to achieve. The only comfort lies in knowing that these interest will not increase dramatically, which makes for the firs positive real estate trend in 2017. In addition to this we are able to provide you with some more good news – rumor has it that a first time owners will have to pay a lower fee, so perhaps it’s not all that sad.
2. Although it doesn’t seem like it, but there will be many new home to choose from
In 2016 the builders have shortened their working hours and there weren’t enough homes for the perspective buyers. This became a big concern but it can be dismissed now because there is a significant increase in the number of houses being built in 2017. In order to keep up with this kind of real estate trend, the home builders received some additional benefits. All of this considered, we can expect a significant change when it comes to the offer on the table right now.
3. Based on research, more Millennials will join the real estate market as home owners
It is a very known and recurring joke that of millennials that can’t afford their own place or even paying the rent. But perhaps the joke won’t be so funny in the future because pools show that many of the perspective homeowners are young, entrepreneurial kind of buyers. The research also states that the young people aren’t fixated in the particular part of the country but that they migrate without problems to the place that brings them what they ultimate need – a job.
4. The hammer has dropped: real estate trends after the elections
Regardless of the outcome any presidential election leaves there will for sure be people that are both confused and existed about it. After months and anticipation the president is finally here but there are so many things that will take place in the future that it is practically impossible the predict the real estate trends of 2017 with any possible certainty. Everyone interested in buying and selling should look out for new rules and regulations and act according.
5. Housing market will be every man for himself
It isn’t difficult to presume that in the future we will have less buyers than we have houses that ready to be lived in. The real estate trends predict that there is to be expected some dirty play when it comes to attracting the right people, because there are many new houses being constructed while the old ones are sitting empty. The markets moves very fast and now the average time for selling a house has decreased to less than 52 days in total.
6. Housing market expects an elevated number of foreign buyers
One of the best ways to salvage a market is to have foreign people invest in it, which is way this will most certainly be a very popular real estate trend in 2017. Many investors are attracted to US and this applies more often than not to luxury home owners, and people that are looking to fled the tough economy in their native country. This is expected to continue and to fuel the market as it is.
It isn’t always easy to handle yourself in a world so unforgiving as the real estate market is. The only way to know that you have made the right decision is to do a lot of research and dedicate your time into finding the best option for your situation. Although it has seen better days, the housing market is improving which leaves a lot of room for potential buyers to pick the thing that suits them the best. And if you are not sure what to do, wait a little, sleep on it follow the trends and slowly start planning your dream home.