Part 2
In 2018 though, MarketWatch is predicting a few changes to housing markets across the country, including Colorado Springs. Here is what buyers and sellers need to know:
3. Millennials Will Continue to Move In
In 2018, millennials are expected to gain a significant portion of the housing market, even with the challenge of rising interest rates and increased home prices. Experts estimate that 43 percent of home buyers will be millennial in 2018 (it was 40 percent in 2017).
Javier Vivas, director of economic research for realtor.com, says “[Millennials] already dominate lower price home mortgage and are getting close to overtaking older generations for mid- and upper-tier mortgages. While financially secure in general, their debt to income ratios have started to increase as they compete for higher priced homes.”
In Colorado Springs, this remains true as many homebuyers are military families and young professionals—many of whom are part of the millennial generation. We love that younger folks are securing housing in our city though, and are always thrilled to work with eager, first-time home buyers!
4. Tax Reform May (or May Not) Impact the Market
Recent tax bills in the House and the Senate may or may not impact the housing market in 2018—it’s still too early to predict the outcome of the impact of the tax reforms. Some people are saying the potential loss of tax benefits for owners might lead to a decrease in overall sales, but it is still too early to tell. What homeowners and buyers need to know though is that tax reform will happen in 2018, consequently impacting the market.
If you are curious to know more about the predicted trends for the 2018 housing market, you can read the full MarketWatch article here. And make sure to check out Part 1 of this blog series: Housing Trends for 2018 (and How They Will Impact the Colorado Springs Market)