The housing market gets new predictions every year. These predictions help let buyers and sellers know what they should expect to see while shopping around or selling. The housing predictions for 2018 are made by seasoned professionals who make it their job to watch, understand, and therefore predict the housing market. All buyers and sellers should know what they’re getting into before hitting the market and finding their dream homes or selling their home to move into something newer or better.
The housing predictions for 2018 show buyers and sellers what the market will do for their budgets and expected pricing.
The Housing Predictions for 2018
One of the most important factors of the housing market during any year is politics. Any new tax bill signed by the president will affect the housing market. President Trump did sign a new tax bill that will have an effect on the housing market for 2018. More so, the number of homes available will not pick up much in 2018. If housing predictions are correct, there will not be as much on the market as it relates to those searching for a place to buy. That lack of housing available will mean that pricing will not stop growing. Some professionals believe that the rise in pricing will slow but not stop.
More and more millennials are ready to hit the market and find their homes but that won’t affect the interest rates they will be seeing. Interest rates are expected to rise and end at around 4% interest. The interest rate will slow pricing down but not enough as it may dip in the middle of the year. However, by the end of 2018, interest rates are expected to stay at 4.5%.
The housing predictions for 2018 give buyers plenty to consider. The location will be important as buying a newly built home will prove difficult. Instead, buyers will want to look into older homes that are on the market, maybe even outside of the higher trafficked areas. While many millennials would prefer to be closer to major cities, it’s life outside of those areas that will be more affordable.
Another thing buyers should consider is timing. Fear of rising interest rates makes it important to snag a dream home as soon as possible. Starting prices for homes may be scary but higher interest rates are even scarier. It’s important to consider the new tax plan and how that will affect your income and budget for the coming years.
Sellers have a unique opportunity with the housing predictions of 2018. Now could be one of the best times to consider selling. The demand for homes will rise and as the year goes on the market will improve for sellers. Professional builders can’t afford to keep building and that means homes that are already built will need to supplement the market demands. That’s where private sellers will come into play, adding the home they’ve considered selling to one of the highly sought after homes on the market.
Both buyers and sellers have good news with the new housing predictions for 2018. Buyers will see a dip in pricing and sellers will see a rise in demand. As the year goes on, these factors will fluctuate, making the market switch from a buyer’s market to a seller’s market. Ultimately, everything seems to be on track to even out where both buyers and sellers will have equal benefits and negatives to consider.