The US housing forecast for 2018 reveals US markets are entering a very positive period of housing sales growth and if there’s one thing most early forecasters agree on, it’s that home prices will continue to rise. According to Freddie Mac’s Outlook report, new homes are expected to be a “primary driver of sales” in 2018 as 1.33 million housing starts are predicted in 2018, up from 1.22 million in 2017. Total home sales are expected to increase about 2 percent from 2017 to 2018, according to the report. “The economic environment remains favorable for housing and mortgage markets. For several years, we have had moderate economic growth of about two percent a year, solid job gains, and low mortgage interest rates. We forecast those conditions to persist into next year.” says Freddie Mac’s chief economist Sean Becketti.
CoreLogic, the largest real estate data and analytics company in the U.S providing financial, property and consumer information also indicates that home prices will increase by 5 percent from July of this year through July of 2018. Mortgage rates are expected to increase as well.
Should You Buy or Sell in 2018?
Most real estate sales and real estate investment experts are predicting a strong year ahead for the US housing market in 2018 and for the next 5 years. They are predicting existing home sales of 6 to 6.5 million units in 2017 and then above 1.3 million new homes being built per month from 2018 to 2024. Economists also predict that the uptick in housing starts, coupled with a moderate increase in mortgage rates, will help slow the run-up in home prices next year. Still, homeowners likely will continue building equity next year.
Reports says these are some of the reasons why people are still eager to invest in Real Estate:
- Home prices are appreciating
- Millennials continue to buy a home to raise their families
- High rental rate for rental properties
- The economy is steady or improving
- International investors eager to own US property
Are you ready to take the next step towards purchasing your new home? For all your real estate needs, contact me today at (703) 228-9788. Whether you are buying or selling, I will be here to help you every step of the way.