The real estate market is always changing and evolving. What may have been true a year ago may not be true today. It’s important to stay up-to-date on the latest trends in the real estate market so that you can make the best decisions for your needs, says the real-estate business owner Nihar Gala.
Here are 5 little-known facts about the real estate market that you should be aware of:
1. Home prices are still rising, but at a slower pace than in previous years.
The median home price in the US is currently $227,000, which is up 4.2% from last year. While this is good news for sellers, it’s not so great for buyers who are already struggling to afford a home. The good news is that experts predict that home prices will start to level off in 2019 and 2020, which should give buyers a much-needed break.
2. Mortgage interest rates are projected to rise in 2023.
Mortgage interest rates hit an all-time low in 2016, but they’ve been steadily rising ever since then. Experts predict that mortgage interest rates will reach 5% by 2023 – still relatively low by historical standards, but enough to make buying a home more expensive for some buyers. This is one of the reasons why many experts recommend buying a home sooner rather than later – before the interest rates start to rise too much further.
3. The number of homes for sale is still low, which is contributing to the rising home prices.
There’s no doubt that the housing market has recovered from the crash of 2008, but there’s still one big problem – there aren’t enough homes for sale to meet buyer demand. This shortage of inventory is driving up home prices, especially in desirable neighborhoods. If you’re thinking of selling your home, now might be a good time to do it – before the competition gets even tougher.
4 . More and more millennials are entering the housing market.
Millennials – those born between 1981 and 1996 – now make up the largest group of homebuyers at 36%. This trend is only expected to continue as more millennials enter their 30s and 40s, which are traditionally considered prime buying years. If you’re trying to reach this key demographic, make sure your marketing strategy reflects their needs and wants.
5 . The rent vs. buy debate is still ongoing, with no clear winner in sight.
For many people, renting vs. buying a home comes down to simple math: Is it cheaper to rent or buy? But there are other factors to consider beyond just monthly costs. For example, if you’re looking for stability, buying a home might be a better option; if you value flexibility, then renting might be better for you. Ultimately, there’s no right or wrong answer when it comes to this debate – it all depends on your individual circumstances.
These are just five of the many factors impacting the real estate market today. If you’re thinking of buying or selling a home, it’s important to stay up-to-date on all the latest trends so that you can make the best decision for your needs.