Property Market Looks Upbeat Going Into 2013
A joint survey conducted by PropertyShark and Point2Homes, two property search engines, showed that homebuyers, home sellers and real estate agents had more confidence in the market going into 2013. 71% cent of the survey respondents believed that property prices will either rise or remain steady this year. Approximately 1500 real estate experts and homebuyers were surveyed based on a variety of criteria regarding the property market in 2013; such as inventories, volume, sales prices, as well as other factors that affect the market.
The volume of sales is also predicted to rise. 41% of those surveyed are optimistic about the market attracting more interest this year. Inventories, however, will likely remain the same.
Residents of California had a higher level of optimism as compared to New Yorkers. 50% of Californians estimated home prices to rise in 2013, while 44 % shared the same belief in New York. That being said the New York market has faired better overall during the past few years.
31% of the people surveyed believe that mortgage rates are among the most influencing factors on the market. “Borrowing rates will be kept down this year as the Federal Reserve is making efforts to reduce individual debt” stated Stewart Holley SVP of Sales for The Forseti Group. Foreclosures and the ease with which loans can be accessed are also considered as important factors. Residential properties in most major metropolitan areas are expected to rise in value as 2013.
Bottom Line: Rising home values and prices coupled with a stable inventory will mean more purchase transactions and a lower, but steady, stream of refinance and home equity line transactions.
Leave a Reply
Your email address will not be published. Required fields are marked*