If the commentary from TheStreet.com is on-target, “housing and real estate experts” are largely in agreement about how real estate will fare in the coming year. If the local scene falls in line with their predictions, it will be a good year for Metro Detroit area home sellers.
That’s not to say the prognosticators haven’t left themselves some wiggle room—a good idea since future events rarely completely conform to expectations. But the drift of TheStreet’s 12 top predictions does point in a direction that holds ample encouragement for Metro Detroit home sellers. High points:
- There are many factors that point to a “more competitive” housing market. As fewer sellers list their properties, buyers will vie for what’s out there.
- A “return of bidding wars” is possible. Redfin is the most optimistic, putting a figure to the result—with the first half of 2020 notching prices up 6% year-over-year. In the second six months, it expects supply and demand to halve that rate.
- Mortgage rates are expected to “stabilize at the low end”—further encouraging buyers to strengthen offers.
- In the event that a recession occurs, housing won’t be affected. Again, the low inventory picture is expected to shield sellers.
- Overall, with demand exceeding supply and first-time buyers newly becoming “a very significant component” of the market, home values should rise.
These predictions do fall in line with trends already in place, so no raised eyebrows should result. Potential home sellers who are in the process of making up their minds probably won’t be moved one way or the other by the soothsayers. As always, their own individual situation and goals should be the deciding factors. Call me anytime for a precise, up-to-the-moment readout on what your home can expect from the current Metro Detroit market!