Predictions on the Housing Market OC
1. It is believed if the economy continues to rise the housing market will go up 2% to 6% in 2017. This is believed to be so because of a better stronger economy, more jobs, and a healthy stock market.
2. It is believed that we will see more home sales in 2017. This is again due to a growing economy.
3. New houses build. New permits and building projects have been up the last 6 years and show no sign of slowing down.
4. Mortgage rates will go up. The feds have been mentioning this for a while and we are seeing signs of it. This has been a tough one to predict. The feds raised them a while ago and the housing market slowed way down. I see prices out of control as we saw in 2006, however we don't have all the faulty loans we had in 2006, so we won't see a huge foreclosure market as we saw before. This is predicted, it will be interesting to see what happens.
5. It is believed that housing affordability will be down, as we see a huge steady increase in rents. It is believed that housing affordability will be 8.6 times the average income in Southern California.
6. Rents will go up, but the increase will slow down. We have more people moving to OC than before and right now OC does not have enough housing units to house everyone. Rents will continue to increase.