With every new year come new challenges, obstacles and opportunities to the real estate market. That holds very true for the 2018 year. As we purchase our new desk calendars and begin to remember to write 2018 instead of 2017, consider these upcoming trends that we can look forward to in the New Year. Whether you are a buyer or a seller, the game just keeps changing!
For buyers who have been experiencing a serious lack in supply in the real estate market, you may begin to see a positive change coming next fall. Following a three-year stint of decreased supply of homes on the market, the realtor.com team is estimating that stint to wind down halfway through this year. Buyers who have been waiting to stumble across the right home that meets their budget will see a distinct increase in inventory and opportunities to move into new homes.
Thankfully, a great many real estate and investor experts are predicting an optimistic year in the real estate market this year, as well as for the next five years. If you have been looking for the right time to buy or sell, this is it!
If you were born between 1995 and 2001, you may be ready to move out of your parents’ basement or college dorm room and into something a little more “adult.” Although millennials are entering the workforce with comparable amounts of student debt as the generations before them, this time around, they are looking for more stability and structure in urban environments.
We may not ever see student debt as obsolete; however, these millennials are having even more luck than before in taking out mortgages on all homes, not just the average starter home. Although millennials are expected to have a greater impact on retail initially, don’t write them off too soon!
Previous thought suggested that many of today’s baby boomers would be retiring in traditional retirement communities; however, with many baby boomers caught between not being able to afford these retirement communities and wanting to retire, they will be on the hunt to downsize to smaller family homes.
Boomers looking to sell their larger homes will soon be buyers themselves on the market, looking for a smaller environment to settle down and to call home.
If you currently live in the South, you are well aware that there is nothing quite like it -and that’s a good thing! Southern house markets, such as in Oklahoma, Arkansas and North Carolina are expected to grow by 6%, compared to the 2.5% national average. With the strong pull of the beach, the weather and southern comfort food, the real estate market in the South is experiencing strong economic growth and strong homeownership growth.
With even more homes expected to come on the market, we can all expect for the South to be a top destination for many buyers.
Home owners no longer have New York, Los Angeles and Chicago on the brain. While the number one real estate ranking position goes to Seattle, Raleigh/Durham is not far behind in fourth place. Raleigh also ranks in fourth in the nation for investment and development rankings. We love our state and we are glad the market loves it too!