Zillow has released its top predictions for 2018 and if you’ve been following along for most of 2017 then you shouldn’t be surprised. Zillow’s chief economist Svenja Gudell is expecting things to keep going strong next year just as we’ve been seeing recently here in Loudoun County.
Gudell expects home prices on a national level to climb 4.1% in 2018, a significant amount over the more traditional expectation of 3% gains, but less than their latest reported national rate of 6.9%. Locally in Loudoun the past year’s median sold price has risen 5%, well above the expected 3%, for YTD 2017.
Zillow’s Predictions for 2018’s Housing Market
- Inventory shortages will drive the housing market.
- Builders will turn their focus to entry-level homes.
- Millennials will move to the suburbs.
- Many homeowners will remodel rather than sell.
- Baby boomers and millennials will drive home design.
- Homes prices will continue to grow, but at a slower pace.
While there are low inventory challenges we’re still seeing plenty of new listings coming on the market in Loudoun and it’s actually stronger in 2017 than it was the year before. You can expect another spike of homes hitting the market in the spring which brings more buyers out but also gives you more competition if you’re thinking of waiting.
Graphic: New Listings in Loudoun County – Past 12 Months
With the rising prices and short inventory Gudell is expecting builders to cater to the entry market buyers with more affordable options. We’re seeing plenty of new construction in the area here with much of it coming as townhomes with the builders advantage to squeeze more property in smaller areas.
As mentioned above, home prices have been climbing nationally and Loudoun hasn’t missed that trend either. Want to find out what your home is worth now? Check our home value tool & add in updates you’ve made to see what your home could be worth on the market. Want more info? I’m here to help!