Since, no-one, has, yet, had the oppertunity to discover, a Crystal Ball, which could, consistently, identify, the longer term, and real estate property – related, market trends, and behavior, it is sensible, for, real estate investment professionals, and also qualified, potential customers, and sellers/ homeowners, to higher – understand, a few of the factors, which impact home pricing, and prices! While prices are what one lists his house for, available on the market, prices, are, what it really actually, sells – for! Since, we’re also presently, witnessing, on the list of fastest – rising (with regards to pricing) markets, in recent memory, some are asking, what does the near future, hold, etc! As a Real Estate Licensed Salesperson, from the State of New York, for more than 15 years, I consistently, warn people, do not attempt to market – time, but, rather, proceed, within a well – informed, realistic way, depending on one’s specific needs and priorities, and situation. With that in mind, this information will attempt to briefly, identify, review, consider, and discuss, home, since they relate, for this market, non permanent, intermediate, and longer – term ones.
- Present Day/ Immediate: In many areas, we now have witnessed, inside the past 6 to yr, a 20% or greater, increase, in home. I am amazed, inside my neighborhood, houses, I feel are nice, and not extraordinary, can sell, for 1.2 million dollars, plus much more! While, those considering, selling, should employ this, before trends, change, audience, must identify, whether their purchase, is meant, for your shorter, or longer – run! Factors creating today’s conditions, include: near – historic – low, mortgage interest levels; post – pandemic perceptions and priorities; emotions; and prefer to relocate, etc. How long will this continue? My guess, could be, it could, first, slow – down, and, then, level – off, and possibly, the one, biggest cause, could possibly be mortgage rates! Affordability of down – payments, and closing costs, etc, become bigger limitations, as prices, rise!
- Short – Term: How one defines, short term, is significant, regarding determining, what could be! If, we think it is, to get, from, about half a year (from now), to, about several years, from now, if economists forecasts, are somewhat – accurate, likelihood is, prices will never rise, significantly, etc.
- Intermediate – Term: Defining intermediate – term, as from about four years, to perhaps, 10 roughly, years, from now, it might be more challenging to predict! Will we witness, another example of real-estate cycles, or, will, aggressive prices, whether or not, not at this time – day, paces, get to be the new – normal?
4, Longer – Term: For those, going to hold their house, and live there, for 10 or more years, we’re going to probably witness, pricing, corresponding to the inflation rate, market conditions, and, the actual, geographic area! In other words, longer – term tendencies, will most likely, get back to what we consider, historic, normal trends and tendencies!
Remember, this article was generated to allow you to, more realistically, consider, home price, tendencies, and behaviors, but, you will discover never, any guarantees! Wise house buyers, should identify, what they have to, personally, seek and require, and why!