The real estate momentum at the end of 2015 in the South Florida real estate market, including the Coral Gables luxury homes, Weston luxury homes and Coral Springs homes for sale, has clearly continued into this brand new year.
This news is great for anyone buying or selling a home, and Fannie Mae’s latest Home Purchase Sentiment Index concurs!
Improving Financial Picture for Coral Gables Luxury Homes and Beyond
According to the Fannie Mae report, consumers reporting a significantly higher income in December of 2015 than they had experience at the same time the previous year increased by 9 percentage points when examining the finances year over year.
Last Year’s Real Estate Ends on High Note
South Florida real estate didn’t stop moving properties all the way through the end of December. Coral Gables luxury homes were in demand as were other properties in the area, including Weston luxury homes, Miami Beach, Aventura real estate, among others. A major contributor to an unusually busy run up to the holidays was foreign buyers, which continue to eye up the South Florida real estate market for luxury vacation homes and waterfront real estate property.
With better finances at the end of the year, which included improvement in job security, income and the overall economic outlook, the real estate market can expect to see an increase in the demand for home ownership.
New Year Starts with a Bang
The positive buyer sentiment, which was at higher than usual levels as 2015 faded into history, do not seem to be diminishing as the new year gets underway. The South Florida and Coral Gables luxury homes market can expect buyer demand to increase as January progresses into February and more people enter or re-enter the market.
In fact, the survey conducted by Fannie Mae had 40 percent of respondents note that they are confident home prices will continue to climb in 2016, including prices on Coral Gables luxury homes. This coincides with real estate analysts’ predictions that 2016 will more than likely be the best year for real estate in the past 10 years.
Some of this positive forecast comes from the fact that millennials are hitting the age where home buying is inevitable. They are expected to be the largest group of buyers entering the real estate market this year, including homes for sale in Coral Springs, providing a boost to entry level housing sales.
Also, millennials’ financial picture is improving as is the outlook for many other Americans who may have struggled in the past financially. The Fannie Mae survey found 85 percent of its respondents reporting no real concern when it came to their employment. They were not concerned about losing their job, which shows strong confidence in the future and ties an all-time survey high.
Another interesting statistic from the survey found a significantly higher number of respondents reporting that their household income was better than it had been 12 months ago.
Home Sellers List Now
All of these market factors mean that home buyers are available now and looking. With the increase in interest rates by the Federal Reserve, which it typically does when it sees the U.S. economy improving, will affect borrowers. So the immediate advice is to not delay listing your Coral Gables luxury homes. This will give home owners listing now a jump ahead of more competitors that are sure to enter the Coral Gables luxury homes market as 2016 moves along.
