What are your thoughts about the market in 2015? both locally and on a national level?
That is a great question Igor.
I see it positive, as US economy is strong, Banks are on the way to loosen up some of the credit and loan rules and we are still not back to the peaks we have seen in the past years.
So overall I am bullish for the US RE market in 2015.
I'm shocked there aren't more replies. This is possibly the MOST important topic we should be discussing. In my California market there are a lot of indicators we may near the peak already. It feels very uncertain and uncomfortable. Oil is falling like a dead swan, and we have the worst over fishing in real estate than we've event experienced.
I predict the Phoenix market will strengthen vs. 2014 with a 5-8% rise in prices overall. No bubble, no crash. Slow and steady. Also predict rental market for SFH will remain strong.
I see the national picture similarly.
Once the Millenials mature a bit, settle down and have kids I think the housing market will take off. Don't see that happening this year though.
I think in suburban Midwest areas you will see a lot of baby boomers still retiring or dying and that will still leave a good inventory of houses to rehab, depending on the market. I think interest rates will stay competitive, hopefully under 5%, and a lot of first time homebuyers will pull the trigger. I work in oil & gas and can see gas prices deflated for at least another year or more. So, I think a home will become more affordable. It seems less people are going FHA, and I think you'll see relaxed regulations from them as well as Fannie Mae loans available to investors.
I agree with @Albert Hasson
- I'm bullish on Phoenix market this year. Inventory remained steady this year, so I'm hoping for the yearly spring pickup, which we did not have last year due to the large increase in inventory.