Experts' View of
In recent posts, housing trends have been a common topic. Both Housing Activity and Interest Rates are frequently discussed.
With the "flat" housing market, so many people are on the fence about moving. By "flat", home sales in number are approximately the same as in 2013.
Though home values have increased 4-5% in Hampton Roads(around 3% in Virginia and 7% Nationally), the word "flat" has been burned in buyers minds, or it would seem.
Rather, I believe buyers have for the past three years waited during the 1st half of the year to see how the housing market performed.
Watching to see if:
Home Sales increased
Mortgage Rates increased or decreased
Home Values staid firm
As in the past two years, 2014 is shaping up the same way. The Fall Season will be much stronger than normal. As in the past two years, this year again the buyers find home sales are steady, rates are still low and home values continue to rise.
Thus, the buyers react, contact me and are anxious to buy a home or contact their Realtor to write on my listings. Five homes under contract in the past two weeks!!!
So as you read the experts(courtesy of Albert Clarks' HomeAction Newsletter), you will note the stats and words like "pent up demand". In reality, they are summarizing that values are increasing, rates are low and the demand for housing is very real and present.
The notes on 2015 will not be a break out year are contingent on those individual that have a need to move having the confidence in jobs and the future of the housing market to make a move.
If all buyers realized how crucial it was to take advantage of the current market trends, these experts will have a different perspective in 2015.
Experts Predict Where US Home Prices Are Headed
Home prices have risen in most U.S. markets this year, with most states reaching price levels not seen since the real estate boom year of 2006. How long will they continue to rise? Check out these predictions from four top housing economists:
National Association of Realtors Chief Economist Lawrence Yun
"We are in a multiyear housing recovery. For the next five years, we think four of those next five years will be an improving year in terms of home sales given the size of the pent-up demand, provided mortgage rates rise in a modest way."
NAR’s price prediction: Home prices will rise 5 to 6 percent in 2014 and 4 and 5 percent in 2015.
CoreLogic CEO Anand Nallathambi
"Most states are reaching price levels not seen since the boom year of 2006. Our data indicates that this trend will continue, with more states hitting new all-time peaks this year and into 2015 as the recovery continues."
CoreLogic’s price prediction: Prices will rise by 5.7 percent from July 2014 to July 2015.
Fannie Mae Chief Economist Doug Duncan
"On the demand side, there appears to be a conservatism among consumers and their willingness to take on big-ticket purchases, such as homes. We currently estimate that 2014 will finish lower in total sales figures than 2013 – and that 2015, while stronger than 2013 and 2014, will not be the breakout year some are expecting."
Fannie Mae’s price prediction: Prices will rise 5.6 percent in 2014 and 4.3 percent in 2015.
Freddie Mac Chief Economist Frank Nothaft
"House price growth was very strong in 2013 but we don’t expect a repeat performance. Instead, we see housing prices moderate over the next couple of years before settling into its long-run average of about a 1 percent real house price growth per quarter."
Freddie Mac’s price prediction: Prices will rise 5.0 percent in 2014 and 4 percent in 2015.
Wondering what your home is worth in today's market? Contact me and we can discuss it.