2017 has been a year of extreme real estate market predictions. It’s difficult sometimes to understand how the market affects you as a buyer or seller. Trends will affect you differently, and it’s important to consider how. Here are a few of the predicted trends of 2017.
First Time Homebuyers
This is the year of the millennial. And millennials are buying houses, with that comes more first-time homebuyers. Typically, first time homebuyers are younger, and now it’s no different. With more younger buyers, eager to move quickly on homes, the market might get more competitive. The affordable starter home will become a highly sought-after property, and listings will go quickly when available.
The time for selling a home is getting faster. Homes are staying on the market for around 50 days, but that time might be getting smaller. An important thing to note in the 2017 Central Oregon Real Estate Market is that when you’re ready to list a home, you better be ready to make a quick move. It used to be that you could potentially wait 6 months for an offer, but with this seller’s market things are speeding up. With fewer available properties, buyers are ready to make offers quickly, and are putting down offers fast. If you’re not prepared to move quickly on an offer, you should be prepared to lose it.
Home Prices Rise
In the 2017 market, home prices are expected to grow, but grow slowly. When prices grow, it benefits current homeowners and investors, because the properties that they own typically increase in value. In some rare higher-level markets, some home prices may see a decrease in pricing, but this isn’t common.
Mortgage rates have been rising in 2017, just as predicted. And when rates rise, loans tend to get a little more expensive. If loans are more expensive, this can lead to a lower housing demand which can then turn around and raise homeownership.
Whenever the market swings any which way, it will impact the real estate market in Central Oregon. With lower numbers of listings, more competitive buyers and offers, we may see some affordability issues. As the current market is driving prices higher, it’s benefitting sellers more. No matter which way the market swings it will always benefit someone, whether it’s a seller, or a first-time homebuyer.