Home shoppers will likely have more urgency in the new year, wanting to buy before home prices rise even more.
Home prices are edging up in most markets, and buyers are taking
notice. Buyer surveys recently have shown that home shoppers expect home
prices to continue to inch up, and they want to cash in before they
rise too much higher.
“Every single thing about housing is flashing green” with household
formation rising, inventory falling, and affordability hovering at
record highs, James Dimon, chief executive of J.P. Morgan Chase told
CNBC last month.
In 2013, rising rents are expected to push more renters to buy, The Wall Street Journal reports.
Also, investors who’ve had a big appetite for housing in recent years
may start to decrease their share in some markets that have seen prices
rise, such as Phoenix, and focus on other markets still in recovery
mode, like Chicago and Atlanta.
Source: “2013: How Rising Prices Could Boost Housing Demand,” The Wall Street Journal (Dec. 18, 2012)