Aurora, CO, Market Report!It is still a strong seller's market, which means that the supply of homes can't keep up with the high demand, resulting in higher asking prices by the seller and more
Year 2021 Real Estate Forecast
Dated: January 4 2021
What to predict for the 2021 real estate market?
If you are comparing present Covid-19 recession to 2007 recession, then here are certain key factors to consider how the two differ immensely. In 2007, we had subprime lending and banks were giving loans with very little oversight to qualifications. Also, builders then were building too many homes, creating oversupply. In this pandemic, on the other hand, we have under supply, demand is high, we have strict underwriting and low mortgage rates.
So what can we predict from 2021 when it comes to home buying or selling? Vaccine availability is going to change things a lot, as more people are getting vaccinated, the more are returning to work, decreasing the last summer's high unemployment rate of 9.6%. We are already seeing unemployment decreasing and with more and more people getting the vaccine, Feds predict unemployment to go down to 5.5% by the end of 2021. Quick note here is that the full employment rate is considered to be 6%, which means that anyone who is able and willing to work would have a job.
Analysts forecast that we will be seeing a lot of people relocating. More people are working from home, seeking more flexibility and space. So more folks are moving from inner cities into suburbs where homes are bigger as they need that extra office space to work from home or an extra room to school their kids. Relocation creates a high demand for the suburban home and people are willing to commute longer distances as they'd be going to the office only a couple of times a week.
Year 2021 will be an amazing year to buy and sell a home. It is predicted that home values will increase 5-10% because of the availability of the vaccine, which leads to job growth. More people employed means more funds available to invest and high demand for homes. Employment and demand, accompanied by historically low mortgage rates, cover the three most critical components of a great real estate market.
To see what your home could sell for, click here
Denver CO Homes For Sale, Evelin Kahre Realty Inc. - EXIT Realty Cherry Creek – Evelin Kahre, Broker/Realtor located in Denver, Colorado. I specialize in real estate in Denver Metro Area, Colorado. We help our clients buy and sell in Denver, Aurora, Centennial, Lakewood, Arvada, Wheat Ridge, etc. Dedicated to making sure you are working with a knowledgeable, local realtor, serving only your best interest in mind. For any Real Estate needs, feel free to call or text me, Evelin Kahre, at 720-297-0823
I moved to Denver, Colorado from the small country of Estonia in 1998. I have lived in Denver Metro area for the past 20 years and witnessed the area become one of the most desirable places to live in....
Latest Blog Posts
10 simple ways to improve your curb appeal!People are very visual creatures. We buy emotionally and justify logically. That's why it is important to make the curb appeal of your home exceptionally