2017 has come to a close and as we transition into the new year, it’s time to think about how the real estate industry will look over the next twelve months. In looking at the future, Inman released its annual “Special Report: 2018 real estate industry outlook”. Overall, predictions reveal a sunny forecast for real estate, from optimistic views of the economy and housing market to low interest rates and increasing interest in homeownership. The Industry Outlook study was completed by 653 participants including economics, developers, agents and owners.
As the article outlines, optimism about the economy has increased compared to last year, to 71%. In terms of the housing market specifically, 28 percent of respondents said they are “extremely optimistic” while 43 percent feel “somewhat optimistic” and the rest fell under either a neutral or pessimistic response. Among those who said they have a sunny disposition about this year, “low interest rates, high demand and robust economic conditions were all cited as reasons to be hopeful.”
The survey group, 80 percent of which identified as real estate agents or brokers, “largely agreed that agents nationwide would be more productive in the new year, with 38 percent saying so much, and 26 percent believing they will be less productive in 2018.” Nearly 50 percent of those surveyed said they anticipate unit sales to increase in the coming year, with a widespread agreeance (73 percent) that home prices will appreciate.
That could certainly be the case in Seattle, as the latest S&P/Case-Shiller Home Price Index revealed that home prices grew 12.7-percent in October 2017, while an independent report by Realogics Sotheby’s International Realty shows that the median price of resale condominiums in downtown Seattle increased by a staggering 19-percent from 2016 to 2017.