The housing crisis of 2008 made many wary of the real estate market.
But we’ve come a long way since then! 2017 is expected to be an active year for real estate in general.
Here’s what you need to know.
1. Commercial Investments are Considered Safe
If you want to make some money, but not take on plenty of risk, commercial real estate is expected to be on sure footing in 2017.
As infrastructure projects and employment rates continue to rise, investors are looking at small but steady growth as corporate and consumer confidence increase.
2. Flip for the Suburbs
Joe Manausa Real Estate has a listing in countless suburbs for one main reason: it’s in demand.
Why? Many millennials are finding that they are ready to finally bite the bullet and purchase their first home and stop renting. This is an ideal time to be investing in family homes to sell in an increasingly growing market.
While millennials are looking for more space, the baby boomers are looking for less. So…..
3. Baby Boomers = Big Profits
Empty nesters are ready to downsize and simplify their lives. With less than a third of the baby boomer generation still in the workforce, many in this demographic will be primed to sell.
Remember those millennials that are looking to buy homes? Some of them will be looking for exactly what the baby boomers are giving up. It’s a win/win!
But keep in mind, with several different demographic sectors getting ready to buy…..
4. New Construction is Back in Demand
Home builders are seeing close to a 5% increase in new groundbreakings.
Research indicated that this is due to several factors including:
- More employment opportunities
- Higher wages
- Less restricted lending
These all point to the promise of increased demand, which is also evident in the trends of millennials being ready to make homeownership a priority.
One thing to remember about the millennials though: location, location, location.
Just as this sector is gravitating to the suburbs, they are doing so in geographic areas where the prices are where they will get the most bang for their buck.
Investment opportunities for new construction are best in medium-sized cities, i.e. affordable markets.
5. Sitting Pretty
Maybe your most important investment is one you’ve already made in the purchase of your current home.
If so, it looks like 2017 will be a banner year for you as well.
If rates and prices rise as expected, the equity you already have in your home could see you make a handsome profit should you decide to sell.
Experts like Joe Manausa Real Estate can give you advice about the selling process and when to make the leap into the market.
To protect your current investments, or to know when to make new ones, pay attention to the trends in your market and how you can take advantage of them.
Rising interest rates are being anticipated for the remainder of the year as are loosened lending regulations, especially for first time home buyers.
If you play it smart, the 2017 real estate market could be your most profitable yet!