Confidence Data Means for Investment Strategies
The National Association of REALTORS recently released their 2017 Q2 Homeownership Opportunities and Market Experience (HOME) Survey, which gives consumer indexed of financial outlook and economic beliefs. For property investors, this information can be invaluable as a tool to decide where and when to invest more heavily. Some facts include:
Overall, this data shows a continuation of many macro-level trends; for instance, that millennials and young people are more likely to rent than buy, matching their low confidence in the homebuying market. Mortgage interest rates, as well, are still heavily impacting young people’s perceptions of the housing market.
According to the REALTORS Confidence Index, market conditions are reported as “strong” for single-homes, townhomes, and condos. Demand is continuing to outpace demand, and hence prices are rising—the conditions are continuing to favor sellers and will continue on this path.
What does this mean for me?
If you’re looking for a good time to sell, the market is perfectly set in your favor. Fifty-five percent of properties were on the market for less than a month, meaning that your turnaround time can be rather quick. High demand for a limited amount of homes has created favorable conditions for sellers. Similarly, home prices are rising and are set to continue doing so.