If you’ve been following the housing market over the past few years, you know that it can be highly unpredictable. The past three years have brought lots of changes that most investors couldn’t have predicted. Looking into 2023, many wonder where the housing market is heading.
Experts have mixed thoughts, but most predict less buyer demand, lower home prices, and higher interest rates. We have seen increased mortgage rates at the end of 2022 and a shortage of homes, especially here in DFW. For this reason, many buyers were opting to wait for a better time to buy/invest. So is 2023 going to be their year? This will all depend on the supply and demand of the housing market as a whole.
As we saw in 2022 there was a lack of available homes and increased home prices. There just aren’t enough homes for all the demand moving to our area. However, as we enter the new year, Fannie Mae predicts that home prices could fall in 2023. With the increased mortgage rates, some experts project national home prices to decline by 1.5 percent in 2023. But will this change the supply? Too soon to tell.
That said, if you’re looking to invest in real estate within the next year, let’s go over some tips to keep in mind throughout the process.
• Stay Up to Date With the Housing Market- If you’re investing in real estate, it’s crucial to have knowledge of the market to determine whether it’s a good time to buy or not. Additionally, it’s good to stay up to date with home prices, mortgage rates, and other market factors.
• Estimate the Profitability of Your Investment- Before purchasing any property, you’ll want to estimate the profitability. Determine what type of return you’re looking for and calculate the monthly cash flow.
• Stick to Your Budget- Keep looking until you find a property that fits your needs and your budget. After all, the goal is to earn a favorable return on your investment.
• Hire Rental Property Management- Investing in more rental properties means more work and responsibility. This means, you may want to look into All County Property Management Group to help keep things running smoothly.
It’s hard to predict what’ll happen with the housing market within the next year. But if this is your year to invest we are here to help with all your property management needs! Take a look at how All County can help you and your investment today!