Where Are Home Prices Going In Next 5 Years

Courtesy Keeping Current Matters

moneyandsavingsToday, many real estate conversations center on housing prices and where they may be headed. That is why we like the Home Price Expectation Survey. Every quarter, Pulsenomics surveys a nationwide panel of over one hundred economists, real estate experts and investment & market strategists about where prices are headed over the next five years. They then average the projections of all 100+ experts into a single number.

The results of their latest survey

The latest survey was released last week. Here are the results:

  •  Home values will appreciate by 4.5% in 2014.
  •  The average annual appreciation will be 3.94% over the next 5 years
  •  The cumulative appreciation will be 19.7% by 2018.
  •  Even the experts making up the most bearish quartile of the survey still are projecting a cumulative appreciation of almost 11% by 2018.

Individual opinions make headlines. We believe the survey is a fairer depiction of future values.

I have found these statistics to be very true in the Naples Florida area.  Our market is still going strong even though our main tourist season is over.  I believe we will see many visitors return to our area this summer to purchase so they are ready for the winter next year.  No one wants to spend another winter in the terrible northern weather!  It is not going to be as easy to rent as it has been in the past.  The seasonal rental properties are being snapped up quickly and there will be many disappointed people who cannot find a rental.  These people will have to buy in order to spend next winter in the sunshine.

Remember it is always toasty in Naples and you deserve your piece of Naples sunshine!

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