The Real Estate Investment Trends of 2019
The world of real estate investment is continually changing. To help you keep up, this article covers several trends you should be aware of for the remainder of the year
The Economy will Grow Healthier
The US economy has been improving in recent years, and that is likely to continue in 2019. This trend will likely stimulate the market for real estate investment. In broad strokes, a stronger economy means people have more money, which many of them will spend on buying homes.
Construction Will Increase
To match the new demand for housing spurred on by a healthier economy, construction will likely increase in 2019. However, construction will not be spread evenly throughout the country. Realtor.com lists cities such as Dallas, New York, Houston, and Atlanta as areas poised to see particularly heavy construction. In general, the south and southwest portions of the country will see higher levels of construction, owing to the lesser costs of building in those areas.
Millennials Will Drive the Market
Millennials may have a reputation as renters, but in 2019, much of the generation will likely begin buying homes. Large numbers of millennials have been in the workforce long enough to advance in their careers and secure higher-paying jobs, making them more able to take out mortgages. In fact, according to Forbes.com, millennials will account for 45% of the country’s mortgages. This makes sense: Much of the generation is entering their 30s or already there.
Mortgage Rates Will Hold, Then Go Up
Another real estate investment trend to be aware of is the rise of mortgage rates. For example, Freddie Mac currently predicts mortgage rates to hold relatively steady throughout 2019. However, the rates are expected to jump up in 2020, meaning 2019 might be a better time to take out a mortgage.
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