Are you thinking of buying home this year? If you are then you must know the trends of the real estate market so that you can take decisions wisely. Here are some of the trends and predictions about the 2018 real estate market.
House prices will be moderate
After the real estate market crash in 2008, the house prices have been rising slowly. Last year the price was high and this year also, you can expect the price to be similar. There won’t be any drastic increase in the prices.
Mortgage interest rates will be high
As the demand for houses is less than the supply, the mortgage rate is high. So, make sure you have enough money for paying the down payment and have a stable income source to pay monthly mortgage amount.
Tax reform benefits
Reduced income tax means that you will have more money to save for buying a house. Lower corporate tax means the home builders will be at an advantage as well.
New homes for first-time buyers
In the previous years, the property investors concentrated on the luxury market. This year, as more millennials are going to become first home buyers, the home builders will build home for the first time buyers. So, more homes will be available in the market.
Looking at the trends it seems that it is quite safe to buy a house this year. Make sure you are in good financial standing in order to pay the high mortgage fees and down payment.