January has proven to be a very busy month in real estate and it seems that 2014 will continue along the same path!
Last year, our residential real estate market demonstrated extraordinary resilience and 2013 ended up being the second best year in housing sales since 2008! As housing values continue to climb, the average housing price is set to appreciate by 5% over the next year. This being said, the high demand and shortage of listings will contribute to the boom in activity throughout 2014.
It is predicted that first-time homebuyers will be actively purchasing homes over the next few years. This smart demographic has been preparing to make the move towards home ownership for the last two years and have saved money for larger down payments and revalued their expectations.
Purchasers who are looking to move-up in the real estate market will continue to represent a large share of the purchases and sales over the next year, driving the sales of properties between $600,000 and $1 Million – a market where inventory has typically been tight. Furthermore, the demand for luxury homes in excess of $1.5 million will continue to increase as foreign investments become increasingly evident and continue to contribute to the upper tier home sales in excess of $2 Million.