After a year of rising home prices, low inventory levels and ongoing homebuyer demand, these conditions will increase even more in 2018.
As the year begins, one expert breaks down some of the major trends to come in 2018, saying the year will bring an abundance of positive trends.
“Turn up the volume on new home building,” Re/Max Co-CEO Adam Contos said, citing housing starts that are down 2.9% year-over-year and well below the historic 50-year average. “We’d love nothing more than to see the next generation of homebuyers start building equity now.”
Contos gives these four predictions for 2018:
1. Inventory is key
Contos explained that the volume on new home building will increase, but until that happens, the market will struggle with low inventory and some markets will feature all-out bidding wars. In 2017, housing starts were down 2.9% year-over-year and well below the historic 50-year average. Even though there’s a shortage of labor and a spike in material costs, the primary reason for the low starts is that builders have focused on more profitable, higher priced homes…