The real estate market is not as fast changing as the stock market and there is a general waiting period before the next change behind. However, as a buyer or a seller of a real estate market you should be aware of the house prices and the general nature of the real estate market to go through successfully with your transaction. Equally important is getting to know the complex terminologies surrounding real estate and how they applying your transaction. A savvy real estate investor would do well to real about the real estate terms and tips for buying or selling home before actually getting into their intended transaction.
Before we take a look at what's ahead in the coming years, let's take a look at what's been happening very briefly in the pat decade up until now. In 1994, you could say that real estate investors were many and the percentage of home owners in the Unites States was 64%. This continued to rise and we see that in 2004 the home owner percentage came to 69%. Now from 2004 to 2007, there has not been any real increase in the number of people wanting to buy real estate. Instead what has been noted is a .8% decrease and as a result we have home ownership percentage standing at 68.2%, after 2004. The trend coming up from 2007 which leads into 2008 indicates that this will change as the number of buyers and investors are expected to rise.
Looking into the home price for the coming year 2008, it is expected that home prices will come down. This is good news for buyer in real estate market. Waiting now for a slight dip is worth it as they can see attractive prices on their homes. This means that lesser amount into mortgages and paying the mortgage off quicker if possible. This slight price dip is not however, gong to turn the market into a buyer's market and have the sellers really depressed. Sellers can expect something good as they can get good deals, but should really put off the tendency to price way off the mark from their home justifiable market value. In 2007, there were certain issues because of which hoe sale was slow, but with some many factors causing prices to dip, it is expected that the number of buyers will rise.
There is an increase expected in foreclosures and this means more home come through foreclosure auctions or sales will be up in the market. One of the reasons why there are so many foreclosures is because of too many loan products from mortgage lender and the general mess that both mortgage brokers and home buyers have gotten themselves into by their actions.
The market is however expecting an increase in investors as the sought dip in real state m prices will give them the perfect opportunity to buy lots of real estate at attractive rates. According to the National Association of Realtors, profit margins for home builders and sellers are coming under pressure in the coming years. This gives buyers and advantage in the home prices and in addition to this, buyers are having more options that what they had previously in the kind of home available for sale. Since channels for buying are more and pricing is going to just get more attractive buyers in real estate market are expected to rise.
The current happening in the form of short sales and lack of bidding at the trustee sales means that real estate investors cannot expect banks to pay for some ordinary closing costs like city taxes and state documentary transfer tax. This means a slight more costly mortgage in terms of such payments. However, interest rates will stabilize and may go up and down a small point but not must activity expected on the interest rates in the current year.
If you are looking towards buying or selling real estate, check your local real estate market conditions and the general condition prevailing at the time of sale to opt for the best home price on your transaction.