Real estate is an important part of everything Family. Where you live influences where your children go to school, what activities they participate in and what friends they will have. Whether you are thinking of buying or selling, it is important to keep abreast of what is happening in the real estate market nationally so you can make decisions about when to make a move in your local market.
2013 was an amazing year in real estate for most parts of the country. Just in the third quarter of last year across the country the average increase in home value was 12.5%(Bloomberg Personal Finance, 11/6/13), by Prashant Gopal). 2013 was a mini-bubble reflecting the market working to balance itself after such a dramatic bubble burst in 2006-2007. Thus, overall, 2014 is shaping up to be a promising year for both buyers and sellers. Good news for all of us, it means many homes that had depreciated in value are getting out from under. It means that more folks are employed and ready to buy. In all, it means we are seeing a recovery that is long overdue.
It is going to be quite a spring market in most areas of the country. So, if you are thinking of buying or selling there are some very good reasons to do it now. Below are the Top 6 tips to consider in the spring 2014 real estate market.
#1: Home Inventory is on the rise. After a dramatic decline in inventory in 2013, it looks like 2014 will provide more inventory, a good sign of housing recovery. Experts predict that 2014 will be the last year that low inventory will aid property prices. Bottom-line: If you were thinking of selling, get in before there is too much inventory and new construction out there.
#2: There will be less multi-family apartment building and more single family new construction this year. With the interests low single family home purchases are more affordable than ever. The greatest surge in new construction since the bubble burst in 2006-2007 is happening as this is written. This means that many apartment dwellers are venturing into home ownership. Bottom-line: It is the perfect time to buy! I would also suggest if you are thinking of selling in the spring market, do it EARLY. Like NOW! Because you do not want your resale property to be compared to the “new Builds” that will be available later in the season.
#3: Second and third tier cities on the move. With all the major cities turning the corner in the housing market, wonderful second and third tier cities, such as Dallas, Seattle, Philadelphia, Denver and Atlanta will lead the housing recovery in 2014. Investors have moved from the major cities (ex. NYC, LA, and DC- internationally recognized throughout the world) to second & third tier cities because housing prices are cheaper and there are more housing deals. So if you are located in this type of city it is important to buy now before the deals are all gone. If you are considering selling you may just want to wait until investors renovate and begin to sell off housing in the next few years. This will only drive the price of your home up. Bottom-line: Seller, wait if you have a great home in a great area of the city. Buyers: Buy now while the interest rates are low and before market value rises with investors purchasing and flipping homes.
#4: Real Estate Investors stay on the perimeter. In other words, investors will be looking to invest beginning in the Northeast, going down the coast and then coming across and back up the other side to the Northwest coast. Bottom-line: Expect more activity and growth on the perimeter of the country then iin the mid-west and Bible belt where you can safely bet that there will be a steadier market this year.
#5: It’s a seller market. The home buyer’s market is long gone and home sellers are taking advantage of this thus causing a rise in market values in most areas of the country. Bottom-line: Seller sell NOW and buyers buy now because we will never see interest rates this low for decades to come. However with a lack of inventory on the market, make sure you are ready to purchase when you find the right home. Be prepared with a pre-approval letter and a well-informed real estate professional so you can act quickly when the right home comes along!
Now that you have an overview of the Spring Market every other month look forward to more specific information for buyers and sellers and great tips of the trade. In the meantime for more information about investing in Atlanta Real Estate, questions you may have, a recommendation of an amazing Realtor in your community, feel to contact the article’s author.
Truly Fine Homes, KW Buckhead, Atlanta GA