There are a lot of great things happening in our market right now, and today we’d like to give you a glimpse into how these developments will continue to play out in the coming year.
As the end of 2018 draws closer, now is the perfect time for us to look ahead into what’s on the horizon for next year’s real estate market. Follow along with the video above for visuals on the data and trends we’re about to discuss.
First off, let’s look at what we can expect from home prices moving forward. According to a recent study, which recorded the opinions of 105 economists, market analysts, and real estate experts, 99% of the surveyed professionals believe that prices will continue to appreciate through 2019.
Some industry leaders, including the Mortgage Bankers Association and National Association of Realtors, believe that this trend may actually continue all the way through 2022.
Also, while the rate of appreciation is projected to vary by location, there isn’t a single state in the country where experts believe prices will drop in the coming year. Those thinking of selling should still realize, though, that a number of things can impact how much you may earn for your property. This includes recent legislation impacting our market, which I would be happy to explain in further detail if you reach out to chat.
But what about mortgage rates? Actually, these are on the rise as well. Some believe interest rates could jump by half a percent in 2019, so now may be the ideal time to act if you’re looking to lock in a favorable rate.
Overall affordability is always a major concern for buyers in our market, but there is good news ahead for those thinking of making a move. A buyer planning to purchase a property at this time next year would have a slightly higher monthly payment than if they bought a home today, but, if we adjust the statistics for inflation, would still be paying less than if they had bought a home in mid-2006. The point this illustrates is that buying is now favorable to renting from a financial standpoint. It is not only less expensive to purchase a home than to rent one, it is also a better investment in general, given that it allows you to build equity.
Homeowners also tend to have a higher net worth than renters. In fact, according to a study by Harvard University, homeowners over the age of 65 have an average net worth 45 times that of renters their same age.
The bottom line is clear: It’s a great time to pursue your real estate goals. Many homes still on the market right now will expire come December 31, meaning those thinking of listing will be sure to stand out as a result of this sudden drop in inventory. Our current market presents a lot of opportunity for buyers and sellers alike.
As always, our team would be happy to help make your real estate dreams come true. If you’re thinking of selling, you won’t want to miss our next Home Selling Sharks Seminar. This seminar will take place at the Hilton Garden Inn in Fort Washington on January 19, starting at 9:30 a.m. We’ll be sharing eight exclusive tips and tricks for keeping money in your pocket when you sell, so visit www.homesharkseminar.com to register today.
If you have any other questions or would like more information, feel free to give me a call or send me an email. I look forward to hearing from you soon.