The past year was full of surprises, leaving us thinking about the impact it will have on 2017. What should we expect to happen next?
If you’re planning on buying, selling, or investing in Redding, California real estate keep an eye out for these trends.
More Millennial Buyers
Millennials. They’ve created quite the buzz in recent years, and now this modern-aged generation is stepping into adulthood. Millennials are becoming established in their careers, are more likely to be qualified for mortgages, and are reaching the age of marriage and children. That means more millennials than ever are expected to become first time home buyers in 2017. With markets doing as well as they are and interest rates staying low, this age group of buyers is looking to put their cash towards real estate in Redding.
Increase in Property Demand
According to research from the National Association of Realtors, we’re likely to see an increase in demand for properties in 2017. The NAR is estimating that we will see existing-home sales reach 6 million in 2017, and federal housing agencies Fannie Mae and Freddie Mac are predicting an even slightly higher number. We saw a similar trend in Redding, California real estate in 2016, and this continued demands means less homes for sale and houses quickly disappearing from the market.
Increase in Home Value
With more millennials in the market and more demand for properties, home prices will
continue to rise. Svenja Gudell, chief economist for Zillow, has calculated that home prices will increase about 3.6 percent this year. This is an inevitable slight drop from the remarkable year in Redding in 2016, but shows that the growth has leveled off at this normal appreciation rate.
More People Moving to Suburbs
More demand. Increased prices. People will look for alternative options to cut cost by moving away from big cities and towards the suburbs. That’s good news for real estate in places like Redding, California, that offer a lower cost of living in surrounding suburban areas. People will look to go out from cities so they can get the house they want but stay within their budget.
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