Figuring out when to plunge into the real estate market can be quite intimidating – especially when prices are high, choices are limited, and history urges restraint.
Take heart: Experts agree that relief is indeed on the horizon. New predictions for 2018 forecast more moderate gains in home prices and rising inventory levels, while low unemployment and record levels of consumer confidence mean more buyers are feeling good about their finances.
These factors could mean 2018 will be your year to take the buying plunge:
Rates are going up. The more buyers wait, the more expensive it will get to buy – not just because of home prices, but because of inflationary pressure.
Prices are climbing, but not crazily fast. In 2018, price increases are expected to moderate.
Inventory levels will begin to increase. New home construction is also expected to expand slowly; builder confidence is high.
The wild card: Taxes and politics. Across the board, experts agree that the new tax plan decreases incentives for homeownership; however, buying remains the more attractive option in the long term.
As people get more savings in their pocket, buying becomes the better option.