Similar to what a Captain might say to his helmsman, the current economy is illustrating and saying about the current real estate market : “Steady as she goes”. The growth and pace of the current market is on the rebound. Though it is always exciting to experience the thrill of a high paced economic growth of the not so distance past. However, remember the downside of the pain the economy experienced as well. Many pundits exclaimed that we could not achieve a soft landing in the US economy and that it needed to be dismantled and rebuilt.
While there is still a great deal of clean up, the recent numbers released over the last 4 to 6 months and the recent data provided by Fannie Mae’s chief economist, Doug Duncan, we are set for a slow and steady up year. Though careful not to say 2015 will be a breakout year for the housing market, Doug Duncan, believes the strengthening economy will drag housing activity upward in 2015. Doug went on to say: “Strength in the broader economy, accompanied by continued employment growth and meaningful income growth, should contribute to some improvement in housing activity.”
According to Fannie Mae’s Economic & Strategic Research Group’s monthly forecast – this trend will most likely carry us through 2015 and into 2016, possibly 2017. Recent reports have found both existing and new home sales are on the rise, in addition to the improved construction activity and downward trending mortgage rates. This, combined with consistent job gains, falling gas prices, and the expectation of significant income growth this year, has analysts optimistic. Visit Fannie Mae Economic and Housing Outlook http://www.fanniemae.com/portal/research-and-analysis/emma.html for more information. If you are looking to purchase, refinance or considering a reverse mortgage- now is a good time to take action and take advantage of the current “Steady as you go” economy.