2015 Real Estate ForecastJanuary 10, 2015
After a relatively slow housing market in 2014, analysts and economists have high hopes for the NewÂ Year. According to a report released by FloridaRealtors(R), the real estate market, Northwest Florida home sales included, is expected to “build momentum across the board” this year and is in large part due to a strengthening economy.
With that in mind, there are a few things housing experts have on the horizon in 2015. First on the list is an increase in first-time homebuyers.Â In conjuction with millennial employment, the real estate industryÂ is geared towards this market which is expected to drive two-thirds of household formations by the end of the year.
The report also projects stabilized home prices and rising mortgage rates with rates expected to increase to 5 percent by the end of 2015. However, because home values have slowed in growth and shown more consistency with long term historical performance the shift between buyers and sellers is likely to equalize.Â