End Facebook Pixel Code -->

3 Reasons to Be Optimistic about Real Estate in 2021

Dated: December 28 2020

Views: 114

3 Reasons to Be Optimistic about Real Estate in 2021 | MyKCM

This year will be remembered for many reasons, and optimism is one thing that’s been in short supply since the spring. We’re experiencing a global pandemic, social unrest, an economic downturn, and natural disasters, just to name a few. The challenges brought on by the health crisis have also forced many homeowners to reevaluate their space and what they need in a home going into 2021. So, experts are forecasting that next year is one in which we can be optimistic about real estate for three key reasons.

1. The Economy Is Expected to Continue Improving

Tim Duy from the University of Oregon puts it this way:

“There is nothing fundamentally ‘broken’ in the economy that needs to heal…there was no obvious financial bubble driving excessive activity in any one economic sector when the pandemic hit…With Covid-19 cases surging again, it is understandably hard to look optimistically to the other side of this winter…Don’t let the near-term challenges distract from the economic stage being set for next four years.”

2. Interest Rates Are Projected to Stay Low

In the latest projections from Freddie Mac, interest rates for a 30-year fixed-rate mortgage are expected to remain at or near 3% next year. These low rates will continue to make homes more affordable, driving demand for housing in 2021.3 Reasons to Be Optimistic about Real Estate in 2021 | MyKCM

3. Future Home Sales Are Forecasted to Grow

While the economy improves and interest rates remain low, homes are also expected to continue appreciating as more people buy in the coming year. Danielle Hale, Chief Economist at realtor.comsays:

“We expect home sales in 2021 to come in 7.0% above 2020 levels, following a more normal seasonal trend and building momentum through the spring and sustaining the pace in the second half of the year.”

Bottom Line

Experts forecast that buyers and sellers are going to be active in 2021. If you’ve thought about buying or selling your home this year but have held off, now may be the time to take advantage of this market. Let’s connect to take the first step toward your new home today.

Blog author image

Augusto Verissimo

Augusto Verissimo, a well known Top producer Real Estate Broker with over twenty-five years of experience. His professionalism, work ethic, dedication, and passion for the real estate business has hel....

Latest Blog Posts

Forest Hill Newark NJ 07104

575-577 Highland Avenue Newark NJ 07104WELCOME!!!! TO THIS RARE OPPORTUNITY!!! One of a Kind four-family home located in the sought-after historic district of the Forest Hill section of Newark, just

Read More

Why Pay Rent "Apartment for Sale "

316-324 Jefferson Street Newark NJ 07105 Unit D-2Asking only $195k Welcome!!!! Why Pay Rent!!!! Excellent condo conveniently located in the sought-after Ironbound section of Newark. Everything

Read More

Three Family home for sale Newark NJ 07105

298 East Kinney Street Newark NJ 07105 WELCOME TO THIS RARE INVESTMENT OPPORTUNITY!!! You will love this amazing three family home recently renovated in excellent condition located in the

Read More

Newark NJ 07105 Apartments for sale

272-276 Walnut Street Newark NJ 07105 Unit D5 Welcome !!!!   Excellent condominium  conveniently located in the sought-after Ironbound section of Newark. Everything is just steps from

Read More