On the heels of a historic election, U.S. President- elect Donald Trump left many Americans – and the rest of the world – with a lot of questions and
uncertainty about the direction of the country’s future. If
the National Association of Realtors and National Association of Home Builders are any barometer of America’s
pulse, however, the 2017 economic outlook looks upbeat.
Indeed, with a new president known for building a
multi-billion real estate empire over his lifetime, it’s only
fitting that America’s real estate market is riding a wave
of modest optimism. At least that was the overall mood
of some 20,000-plus Realtors and industry professionals
who attended the NAR’s annual Conference & Expo Nov.
4-7 in Orlando.
The NAR conference got off to a positive note when
NAR’s chief economist Lawrence Yun and president/CEO
and continued job gains boosting overall demand, Yun
forecasted existing-home sales to grow roughly two percent to an estimated 5. 46 million in 2017, up from an
expected 5. 36 million existing-home sales in 2016.
If the 2016 numbers fall into place as expected, it will
be America’s best year for existing-home sales since 6. 47
million transactions in 2006. In another upbeat note, Yun
said the country’s “net positive” economic conditions
should continue to deliver a more prominent four percent
jump in 2018 existing-home sales to 5. 68 million.
Meanwhile, the national median existing-home price
is expected to rise to around four percent in both 2016
and 2017. To further support the fundamental strength
of the residential real estate market going forward was
a report by the National Association of Home Builders
showing markets in 162 of the approximately 340 metro
areas nationwide returned to or exceeded their last normal levels of economic and housing activity in the third
quarter of 2016.
This NAHB/First American Leading Markets Index
(LMI) released Nov. 7 represents a year-over-year net gain
of 73 markets or 45 percent. Overall, 91 percent of markets improved from the previous year. The index’s nationwide score ticked up to . 98, meaning that based on current permit, price, and employment data, the nationwide
average is running at 98 percent of normal economic and
“Ongoing job growth, low mortgage rates, and rising
incomes are contributing to a firming housing market
and economy,” NAHB Chairman Ed Brady said. “Though
In a presentation given to members of the media on the
opening day of the conference, NAR managing director
Jessica Lautz of NAR’s Survey Research and Communications team said two big surprises inside the annual “
Profile of Home Buyers and Sellers” survey were the growing
number of first-time and female home buyers, rising to 35
and 17 percent, respectively.