Housing Market Nears Normal
The Kiplinger Letter projects that 2015 will see sales of existing homes back to normal levels. Not like during the bubble or during the recession, but like 1999-2002.
New construction is still about half of pre-bubble levels. While new homes sell quickly, there are fewer build-ready lots, fewer tradesmen, and fewer suppliers, all of which slows production.
Kiplinger notes that incomes are rising and unemployment is falling, both of which support residential markets. Interest rates may rise slightly in 2015, but should still be at historically low levels.
Created: November 05, 2014