Today I've got a forecast for the Phoenix real estate market in 2017 that I wanted to share with you. Certain types of buyers entering the market could have a significant impact on Phoenix next year.
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Today I wanted to take a moment to give you my forecast for the Phoenix real estate market in 2017.
According to 247WallStreet.com, 50% of home buyers in 2017 will be first-time home buyers. That will put a lot of pressure on the entry-level price point of $250,000 and under. For that reason, I expect this price point to stay very competitive with multiple offers on homes.
If the stock market keeps improving, I think the luxury market will take off.
New construction sales will continue to increase and will be a large part of the move-up buyer midrange marketplace. The stock market continues to climb after the election; 20,000 points is a new all-time high. If this continues in 2017, I think the luxury market will take off with company owners and shareholders receiving more dividends and having more cash available, making them able to purchase bigger homes.
I predict that interest rates will climb gradually in 2017. I don't think we'll see any sharp upticks, but they will go up slightly.
So what does this mean to you as a buyer or seller in the Phoenix market?
As a first-time buyer, you'll really need aggressive representation to compete in multiple offer situations. As a seller, you'll also need an aggressive agent to be able to market your home, generate a bidding war to get you the highest possible price, and handle all the offers.
If you have any other questions about buying or selling a home or about the market in 2017, give me a call or send me an email soon. I'd love to help you!
