What to Expect from the Real Estate Market in 2018
2018 housing is expected to have slow and steady gains, and perhaps a little more balance. The limited supply of homes for sale was the biggest issue facing the market last year, and it will continue to be a problem in the beginning of 2018. We don't see mortgage rates increasing enough to have a dramatic impact. Demand may continue to exceed supply, but a slight increase in inventory will help take some heat off the market. Some specialists are predictiing the inventory shortage to correct itself by the fall. This means that home prices will begin to taper in the second half of 2018 which will provide some relief in the market. With inventory being the major factor shaping the 2018 housing market, home prices are likely to rise, but at a more modest rate. In some areas, home prices were rising 4 to 5 times faster than income growth.
Interest rates continue to baffle forecasters. The anticipated rise that many of us have been predicting for several years has yet to materialize. Mortgage analysts are predicting rates to gradually climb as this year progresses with a strong economy. Our forecast for 2018 is for interest rates to rise modestly, while still remaining remarkably low when compared to historic averages.
Make sure to consult with us regarding your timing if you are considering a move, as it may make sense to sell in the first half of 2018. We had our highest number of home sales for any January this year, with 12 homes going Pending by the 23rd of the month. Of those 12, five homes had multiple offers and two sold before hitting the market.
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View Finn Team Pending Sales in January:
Contact us to help guide you through all the important details involved in buying and selling a home. An active Realtor can assist you through the entire process, and is your absolute best source for professional and accurate information.