Progressing further into 2021, you may be questioning what is in store in the housing market during the second half of this year! Let’s take a closer look at what experts are saying about the industry and what it means for the economy in the coming months. By looking at what experts are forecasting, we can evaluate key factors that will give us predictions to what the future will hold.
Realtor.com has stated, “Homes continue to sell quickly in what’s normally the fastest-moving time of the year. This is in contrast with 2020 when homes sold slower in the spring and fastest in September and October. While we expect fall to be competitive, this year’s seasonal pattern is likely to be more normal, with homes selling fastest from roughly now until mid-summer.”
The National Association of Realtors (NAR) has reported that sellers who may have been more hesitant to list their homes due to personal health safety precautions are more encouraged to show their homes now. The population is becoming more and more vaccinated as we enter the middle of 2021, leading to an increase in the number of houses for sale and showings.
The Chief Economist of realtor.com, Danielle Hale, has reported that: “Surveys showed that seller confidence continued to rise in April. Extra confidence plus our recent survey finding that more homeowners than normal are planning to list their homes for sale in the next 12 months suggest that while we may not see an end to the sellers’ market, we might see the intensity of the competition diminish as buyers have more options to choose from.”
Freddie Mac has an interesting forecast, which shows that mortgage rates are continuing to increase through the end of next year. They have reported the estimate of the 30-year fixed mortgage rate will average 3.4% in the fourth quarter of 2021 and will rise to 3.8% in the fourth quarter of 2022.
Overall, experts seem to be optimistic about the second half of the year! Connect with a Seven Gables Advisor today to learn more about the local market!