Yesterday, I posted three housing trends for 2013, and to follow up I have five more to keep your eye on:
1. Rise in First-Time Home Buyers. The pocket of first-time home buyers that helps to drive the market has been steadily increasing over the past twelve months, and looks like it will continue to do so in 2013.
2. Rising Mortgage Rates. Mortgage rates have been historically low throughout 2012, but that dream world can’t last forever, so watch for interest rates to climb back up to average 4% or more in 2013.
3. Easier Credit Standards. Currently, only the best FICO scores qualify borrowers for a mortgage, but that should start changing in 2013 as lenders have to compete to provide loans to qualified buyers.
4. Rising Construction Costs. New home construction prices will be on the rise in 2013, as contractors can be expected to increase their prices to cover costs.
5. Sales Will Rise. Home sales were up in 2012 for the first time in awhile, and should continue to do so in 2013. Some reports estimate that home sales will grow as much as 10% in the coming year.
Thinking of buying or selling a home in Sussex County? Give us a call at Cooper Realty Associates and put us to work for you – 302-644-2266.