5 Types Of Buyers Will Be Rushing Into The Housing Market In 2013

From Businessfinder.com

With the housing market bottoming in 2012, economists and other experts are becoming increasingly optimistic about the U.S. housing market in 2013.

From John  Burns Real Estate Consulting: “Assuming our leaders in DC come to some sort  of agreement that keeps the economy growing and interest rates low, which seems  like the most reasonable assumption, here is what will happen,”

  • Investors: Investors and, yes, even flippers will continue  to grow in numbers as they realize housing is the best risk-adjusted return on  their money.
  • Boomerang buyers: Foreclosed homeowners, who are currently  renting homes, will come back in droves. In Phoenix, they are paying $1,300 in  rent for a home whose mortgage payment would be $1,000. That situation is not  sustainable. The Federal Housing Administration and Department of Veterans  Affairs have low down payment programs with insurance premiums that push rates  near 5.0%. Those payments are still very affordable.
  • Entry-level buyers: First-time homeowners, who have been  sitting on the sidelines waiting for a sign of the bottom, will hear about price  increases in their desired neighborhood and rush to become homeowners.
  • Move-down buyers: Empty nesters and retirees, who have  plenty of equity  in their existing home, will buy a home that is more suitable to their current  lifestyle, which may or may not include adult children as well as their aging  parents.
  • Moveup buyers: The price appreciation that occurred in the  last year has already lifted 1 million underwater homeowners above water with  future price appreciation to lift them even more.

All good signs.

Read more:  http://www.businessinsider.com/john-burns-2013-housing-market-outlook-2012-12#ixzz2GpNRVWEJ


About reinhartsouth

2008 wasn’t the best time to open a new office, but the Charles Reinhart Company looked to expansion as the way to ensure the future. Reinhart South, now located on the corner of State Street and Eisenhower Boulevard in Ann Arbor, opened January 7, 2008 in a small office on Washtenaw Avenue. Facing the bleakest economic situation since the great depression, Manager Dawn Foerg began the process of recruiting top real estate talent to the company. One agent at a time, South grew. By early 2009, 15 agents called the South office home. Still fighting the economic crises, the office grew to more than 40 licensed Realtors by the end of 2010. Today, South is among the five top producing offices in Ann Arbor.
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