There’s a lot of uncertainty in many areas moving forward into 2017. We’re looking at a brand-new government and administration, and it’s one the likes of which we’ve never seen before. Financial markets are holding their breath waiting to see what’s coming, and the real estate market is no different.
However, if the markers and indications are to be believed, it looks like it’s going to be a strong year for housing and real estate across the board. While it won’t be without difficulties, things look good. Explore what’s ahead and what came before in this review of the 2017 real estate market forecast so you know what moves to make this year.
What’s the Housing Outlook for the Coming Year?
Investors and homebuyers as well as those looking to sell their home should feel good about the housing expectations for 2017. For the most part, industry experts are predicting a continued uptick in sales and conditions for the new year.
Home sales will be up, as well as new home construction. In terms of numbers, the expectations are to see anywhere from 6 million to 6.5 million sales in 2017, as well as about 160,000 new construction projects being completed.
The Immediate Future Looks Very Bright
The immediate future looks good when forecasting the real estate market. Experts often look to building companies for an indication of where the market is going, and home builders are looking forward to a strong year. The estimates are also that there’s very little risk (if any) of a downturn or crash in the industry. Rather, it’s going to continue to rise, with strong interests in buying, building and rental income.
Among the positive predictions for the coming year include:
- A slight rise in mortgage rates
- A very low risk of housing crashes
- Millennials moving into their prime years for home buying
- Potential for student loan debt forgiveness
- Expected government de-regulation
- Production costs rising due to a shortage of labor
- Continuous upwards trend of the economy
- The new administration’s “pro-business” stance
Not Everything is Perfect — Understand the Speedbumps
Everything isn’t perfect in the new market, however — it’s never perfect in any industry. There are a few road bumps to watch out for this coming year. One of the biggest is the fact that the market is perhaps more fragmented than ever before.
The individual experience of any two buyers or sellers could vary drastically depending on where they are. There are far fewer lower-cost homes on the market than there are high-value homes, which could present a problem for some first-time homebuyers.
In addition, getting the best value for your home on the market could require more than ever that you provide repairs and upgrades in advance. Buyers are going to be pickier than ever before as well as willing to spend more, so there’s expected to be a lot of competition.
Your best bet if you’re looking to buy or sell in the coming year is to secure the best professional real estate services in Contra Costa County that you can get. Overall, though, things are looking pretty solid in the near future, and that’s a great sign!