The housing market is always a hot topic amongst anyone with even a passing interest in current affairs. Unfortunately a big talking point over the years is how it’s becoming harder and harder to get your foot on the property ladder, thanks to supply and demand within the sector and the fluctuation in the economy’s health in recent times. Homes are growing increasingly expensive, while banks are much less likely to offer mortgages compared to a decade ago. With the way things are heading, it’s going to be vital to get on the property ladder in 2016.
There are still not enough homes being built around the country, which means that demand for property still vastly outweighs available homes. With a lack of affordable housing near city centres, people who are looking for a first home are being pushed into the suburbs. Another factor lingering over the housing market is the impact that higher interest rates have on affordability. Mortgage rates are expected to rise in 2016, adding another obstacle in the way of potential first-time buyers.
In recent years there have been millions of new jobs created in the United States, allowing a new generation to save up the funds for homes of their own. With all of the extra jobs there will be an even stronger demand for housing, and this could end up pushing prices through the roof. It’s definitely recommended to get there first and get your foot on the property ladder before a predicted surge of competition later in the year.
US residents can take some solace in the fact that the housing situation is similar in other areas of the world. In the UK, for instance, the construction of homes has been far below the proposed targets for many years now. With the banks being so cautious about accepting first-time buyers for new mortgages it has never been harder to get a property of your own over there, and landlords are feeling the sting as well. Fortunately there are some solutions, with dedicated services that improve the chances of letting your property, but the US housing market appears to be in better health at this point in time.
Owning your own home is still an important piece of the American Dream, and for many people the prospect of getting on the property ladder is becoming slightly more realistic as we move further away from the global financial crisis. However a lot will depend on location and how expensive homes are in your area, which mean you might have to move around a bit before coming across something that you can call a place of your own. If you move fast in 2016 then your property dreams could become a reality.