While no one can predict the real estate market through a crystal ball, financial experts predict several 2020 real estate trends from which both buyers and sellers can benefit.
Home Prices Predicted to Rise Slowly, But Less Rapidly than 2019
According to Freddie Mac, real estate prices will continue to grow, but less rapidly than they did in 2019. For homeowners, this is good news, as you will still see growth in your equity so if you do decide to sell, you will profit.
Just make sure when you do sell, your home is in top shape to justify an increase in value and you have marketed it and priced it to sell. Using an experienced Realtor® such as The Gamache Team will be in your best interest.
Buyers can expect a competitive market, being able to afford a home and not be outed by outrageous prices and inflated values that disqualified them in previous years.
For buyers who are still out of the price range for their dream home, personal money management expert, Dave Ramsey suggests they
- Continue to save for a down payment
- Be realistic about what you can and cannot afford
- Research other areas
- Consider buying a fixer upper to take advantage of the lower price increase
- Take a hard look at what you really want versus need in a home
- Hire a reputable buyer’s agent such as The Gamache Team to help you get qualified and negotiate a great offer in your best interests
Mortgage Interest Rates Continue to be Low and May be on the Decline
With the trade and tariff war a hot topic, the feds do have room to adjust to a lower interest rate in 2020. Despite the feds holding interest rates at their current levels this week, Kiplinger announced, “If market turmoil develops, perhaps related to trade, then the Fed will likely cut at least once more.”
Lower interest rates are good news for buyers who can afford just a little bit more home or increase their down payment. Sellers will benefit because more buyers will be vying for their home.
In 2020, economist geeks think interest rates will stay around 3.7% for a 30-year mortgage and 3.2% for a 15-year mortgage. (Kiplinger)
Buyers and Sellers Should Contact an Experienced Real Estate Expert Such as The Gamache Team
If you or anyone you know is looking for a real estate expert who can help them sell or buy a home, contact The Gamache Team. Proven experience, excellent negotiating tactics, a vested interest in the neighborhood they live and work in, The Gamache Team has been assisting buyers and sellers with their real estate needs for over three decades.