Florida residents who are considering a home purchase may be wondering what the predictions are for the real estate market in 2017. The difference between the number of homes for sale, increased interest rates and higher prices may affect their plans.
Despite the pricing and interest changes, millennials may be a big influence on housing trends in 2017, along with baby boomers, who are retiring and possibly thinking of downsizing. This might be particularly true for millennials, the majority of whom require financing to purchase a home and many of whom face other financial challenges. It is estimated that millennials will make 33 percent o fall home purchases in 2017, lower from earlier estimates.
The prices for homes is expected to slow by 1 percentage point over the previous year, from 4.9 percent to 3.9 percent. Higher mortgage rates may make it more difficult for buyers, and the relatively low number of homes for sale might be problematic.
In major metropolitan areas, available home inventories on the market are down about 11 percent each year, and those inventories are expected to remain about the same. Currently, the average time to sell a home in a metro area is 68 days, 14 percent more quickly than the average nationwide. However, prices are predicted to increase by almost 6 percent in the West, while sales are expected to increase by 4.7 percent.
Those contemplating the purchase of residential real estate may benefit from consultation with an attorney, especially first-time home buyers. An attorney may assist by reviewing the various documents and help with any problems that might arise.