This week veteran real estate investor and property manager Larry Arth discusses what he sees as 7 real estate investing trends For 2017.
He says optimism is strong but watch these 7 trends.
By Larry Arth
I have held many discussions with investors, builders, buyers and sellers heading into 2017, and their consensus, as well as everything I have read, leads me to this conclusion:
Real estate investing over the next three years will bring slow and steady increases similar to what we saw in 2016.
Now you may be thinking we are navigating unchartered territories with all the changes happening in the political scene. You may see a mixed bag of information making it difficult to assess your investment strategy.
Many are asking, “Why do so many people have such a different perspective on what the market for real estate will look like?”
The reason is because real estate is a broad topic and no one answer can cover such a broad question. Just as a national weather forecast is not much help in your neighborhood, you also cannot give a national real estate investing forecast. That is why you are seeing such a broad array of ideas as to what the investing landscape will look like.
The company speculates that the construction labor workforce may constrict given the President-elect's immigration stances.
- - Zillow predicts 2017 will mark a new stage of the post-recession housing recovery and the company expects recent trends to reverse course next year.
- - New-home buyers could face increased building costs if President-elect Trump follows through on his tougher immigration policies, which may worsen the construction industry labor shortage, according to the company.
- - Zillow also anticipates continued but slowed home price growth (3.6 percent over the year), decelerated rent prices, homeowners seeking affordable housing further from urban centers, and an increased homeownership rate driven by millennial buyers.