As 2020 comes to a close, we are all hopeful for brighter days ahead. Many who’ve been considering buying or selling a home are wondering what to expect in 2021 from the housing marking. While nothing is set in stone and many things are still unpredictable as I type, a recent realtor.com post looked at predictions for the coming year.
Top trends they see on the horizon, include:
- Home prices will continue to rise but at a slower pace. The article notes a 5.7% jump in 2021.
- There will be more homes available during the second half of the year.
- This inventory will include existing homes and new builds.
- Mortgage rates will also start to climb in the last half of 2021. The prediction is rates will hit 3.4% by the end of next year.
Some of these factors could have first-time homebuyers worried. However, this news should not stop them from talking with a lender and realtor in their area to see what their options are. They should also follow President Elect Biden’s housing plan closely. Benefits for first-time buyers are outlined in the plan. Another realtor.com post covered five ways the plan could help first-time buyers.
- First-time buyers could receive a hefty tax credit.
- Public servants could receive additional home buying assistance.
- Student loan debt forgiveness could help more Americans become homeowners.
- A public credit agency would help more buyers qualify for mortgages.
- More affordable homes could go up during a Biden presidency.
If you are thinking of making a move in 2021, now is the time to start planning. While the realtor.com articles above are great resources for what you can possibly expect from the 2021 housing market, talking to the professionals involved with a home purchase or sale is always a great first step.
Here are a few previous posts that may help you on your way, as well, and as always we’d love the opportunity to discuss your 2021 housing goals and how we might help.
Infographic credit: realtor.com, “Housing 2021 Market”