Market update – Forcasting for 2015

Market update – Forcasting for 2015
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As we close out a great year in Real Estate, we need to look forward to what is coming in 2015. Here is the inside scoop of what you can look at in the next year. Your welcome 😉

The combination of increased employment opportunities, a recovering market, and low oil prices, Millennial will be the driving force in the real estate market for not only 2015, but the next half decade. Reports have said that at least 40% of millennials are looking to purchase a home in the next 5 years. The fear that shook the market in 2008 is lifting, and first time home buyers are back on the hunt.

Freddy Mac is projecting that 2015 will see the most homes sold since 2007, anticipating another 4% jump from 2014. Home values are also on the rise. After seeing a 4.5% increase in 2014, it is projected that values will increase another 3% in the next 12 months. The housing giant also anticipates that mortgage rates will stay low through 2015, with an average rate of 4.5%. As of January rates are hovering right around 4%.

All of that being said, there are still those that project that the full recovery in the housing market is still 3 – 5 years out. The abundance of student loans is a major factor in keeping potential first-time buyers in the rental market for that time period.

So what does that mean for us locally? We tend to agree with Freddy Mac in thinking that 2015 will be as good if not better than 2014 for the real estate market. Higher home sales, consistently low mortgage rates, and a large increase in the number of potential buyers. This creates a great market to sell your home for high value, as well as an abundance of home options if you are a buyer. As you can see, by checking out our local stats to the right, we are up in all areas (new listings, closed sales, median price) in our local market.

Thanks to all of those who made 2014 great, and here’s to the next 12 months being great as well!