There are certain housing market trends that you will definitely want to pay close attention to in 2018. Whether you are interested in buying your first home or investing in a real estate, this information can be incredibly useful. The housing market is always changing, so you will need to make sure that you keep up with the latest trends. While nothing is set in stone, there are certain predictions that are likely to become reality in the near future.
Increasing Number of Homes for Sale
You can definitely expect there to be lots of homes for sale this year. While people have been struggling to find houses for sale lately, that is expected to change in a big way. A lot of experts fully expect significant growth by autumn of 2018. This means that you should have a much easier time finding your dream house, even if you have to wait a little bit longer.
Home Price Growth Will Slow Down
It is expected that home prices will rise just over four percent this year, which is a significant decrease from what we have been seeing lately. This is a reflection of the fact that the supply of houses on the market is expected to increase significantly later on in the year.
Interest Rates on the Rise
Most real estate and finance experts agree that interest rates are going to shoot up significantly in 2018. This means that right now is the best time to start house hunting, because if you wait too long you could end up paying a big price quite literally. It is very likely that 30-year fixed home loans are going to come with 5% interest rates this year, which will be the highest they have been since 2011.
As the value of houses increase, homeowners are getting more equity. It is expected that lots of people are going to be borrowing against their increased equity in 2018. Right now a majority of homeowners have an adequate amount of equity to qualify for HELOCs, and almost all of them have solid credit scores. Experts are predicting that ten million people are going to receive HELOCs within the next four years.
Better Options for People with Bad Credit
According to housingpredictor.com and a number of other sources, those who have problems with their credit are likely to have many more options in the real estate market. This year is a great time for people who have lost their homes in foreclosure to start getting back on their feet. There are numerous lenders that are offering interest-only home loans for people with less than perfect credit scores.
If you are interested in buying a new home this year, it is crucial that you keep all of these trends in mind. It is very likely that 2018 will be a good year for both current homeowners as well as those who are looking to buy or sell.