Shana Lundell's Blog
The real estate market is always changing since there are so many people who want to get the best for their buying potential. If you are on the market and want to know what to expect from it, the following are the home buying trends that will impact the real estate market in 2019.
Home Buying Trends
First, the affordability of houses will change in 2019. Since 2008, potential home buyers and first time home buyers have been cautious on making a purchase. In 2019, the market shows that affordability is to reach a good level for these first time home buyers and potential home buyers.
Second, home prices and sales trends would continue to fluctuate based on zip code and the neighborhood. Home prices often vary. They are also very different between ZIP codes, communities, and blocks. This trend will continue in 2019.
Third, mortgage rates are going to come up. Market projections show that by mid-2019 mortgage rates will rise another 0.5%. As the prices go up, current homeowners should expect lower mortgage rates. This fact may lead to home sellers getting dis-incentivized because mortgage rate growth and home price growth will affect the market into a shift. Fortunately, there are still potential home buyers who are willing to buy with mortgage rates at 6% to 7%.
Finally, projections show that the impact of the recent Tax Cuts & Jobs Act (TCJA) would not be as significant as people are expecting.
Home Selling Trends
When it comes to home selling or selling a lease, the market is very competitive. There are new trends that everybody should expect.
First, with the growth of the housing market, apartment landlords and builders will get more engaged in the so-called “arms race for new amenities.” Every developer would shift focus from maximizing space from a more focused building scheme towards maximizing space to give way for amenities.
Another change that the real estate market should expect is a continued rise of artificial intelligence as it makes its way towards the real estate market. Building management and design would also get affected by the increase of the real estate market.
Now that you know the home buying and home selling trends that will impact the market in 2019, contact a real estate agent today and see if it's a good time to make a move.