Hi this is Jodi Goodell Your Pet Lovers Realtor in beautiful Boca Raton Florida. Today I am going to talk to you about the real estate forecast for 2021. Let's look into the crystal ball together, here we go.......
2020 has definitely held its share of ups and downs. One thing is for sure, the real estate market has far surpassed anybody's expectations and surprised many. In 2021 industry experts believe that the mortgage rates will remain extremely low. They may see a slight uptick to maybe 3% but certainly that will keep mortgages extremely affordable especially for first-time buyers.
In 2021 home sales are projected to grow by 7%. With this increase industry experts believe there will be an increase in our inventory which currently is at historic lows. In 2021 industry experts are predicting three to four percent appreciation rate. When a high buyer demand is met by a low inventory level appreciation occurs, and with that sales prices will increase as well.
With everything that has happened in 2020 the real estate industry has thrived and contributed to economic recovery.
Although industry experts do believe that we will have more foreclosures in 2021, they do not believe it will be like the big decline of 2008.
They also do not expect the great home depreciation that followed the foreclosure crisis of 2008. With unemployment rates declining, and the COVID vaccine providing hope, although we do not have a crystal ball the future does look bright.
If you are thinking of buying or selling in the winter of 2021 please contact me, I would be happy to help you with any of your real estate questions and requirements!
