Posted on: 26th Dec, 2006 08:36 pm
Hi all,
With the New Year approaching, you must be wondering as to what the real estate market will turn out. Here's a round up of the housing market scenario in 2007.
Experts predict that interest rates will stay at low levels thereby creating opportunities for homebuyers. Home prices are likely to drop down in some markets and the rate of appreciation in prices will remain slow in most areas.
There may be decline in home sales thereby influencing the price trends. Foreclosures are expected to increase this year. The slowdown in the home prices will result in a fall of net worth for most home buyers.
For mortgages, the long term rates are likely to go up thereby affecting housing starts which is likely to go through depreciation - an abrupt decline since 1991.
Thanks,
Caron.
With the New Year approaching, you must be wondering as to what the real estate market will turn out. Here's a round up of the housing market scenario in 2007.
Experts predict that interest rates will stay at low levels thereby creating opportunities for homebuyers. Home prices are likely to drop down in some markets and the rate of appreciation in prices will remain slow in most areas.
There may be decline in home sales thereby influencing the price trends. Foreclosures are expected to increase this year. The slowdown in the home prices will result in a fall of net worth for most home buyers.
For mortgages, the long term rates are likely to go up thereby affecting housing starts which is likely to go through depreciation - an abrupt decline since 1991.
Thanks,
Caron.
Yeah Caron, home prices are expected to be flat in 2007 with large markets seeing small increases. New home sales may be down this year but existing home sales will be flat. As such, housing starts won't be as low as the early 80's or 90's.
Thanks
Thanks
Well, I should say that if buyers can make use of the decline in mortgage rates and look forward to buying properties, the home sales would go up. That may also increase the construction of new homes. This will improve the market economy within a short period of time.
As a would-be homeowner, I feel the money invested in housing is dead money because home prices are going to decline over a long period.