In the last couple of years, real estate has experienced one of its best periods ever with more people buying homes. And as unemployment rates continue to dip, the future looks even brighter for the sector. As the industry grows, what are the trends to watch? Here are four of them.
There is an increase in inventory
The number of quality single-family houses is on the rise, and homebuyers now have a wide variety of homes to choose from. The implication, of course, is that there are more borrowers applying for a Utah home loan. If you are looking to buy a house as the year ends or in 2018, it helps to know what kind of house you are looking for so you don’t have to tour too much.
Millennials are buying more
Over the last two years, the majority of Millennials have expressed a desire to own homes before the end of 2018. A significant number of Millennials already have acquired homes, and more will commit in the near future. For sellers, this means that embracing a digital presence is important as they reach out to this younger generation, who prefer to search online before purchasing.
Renting costs are on the rise
Many people have always assumed that it’s cheaper to rent than to buy a home. Saving up for a down payment appears to be an insurmountable challenge for many people. The reality, however, is that rental rates have been on the rise as vacancies continue to decline. It’s not surprising to find rent fees that are much higher than monthly mortgage rates.
There has been a rise in mortgage rates
While it was expected that mortgage rates would increase at one point, no one knew how soon that would happen. Well, it’s now a reality. Mortgage rates are higher this year than they were a few years ago, and that trend may spill over into the next year. Now is the time to borrow.
Real estate, like other industries, continues to evolve. By knowing the emerging trends in the sector, you can organize yourself better and make yourself as appealing a home buyer as possible.