Facts about 2014’s Real Estate Market You Should Know Before Making an Investment

The real estate market is alluring. Real estate guru Jeff Adams urges you to invest in your favorite home in 2014 but only after understanding all the specifics of the same. A calculated real estate investment can be a treat. This year according to Jeff Adams continues with a lot of benefits for those investing in real estate thanks to the recession lifting.

Listed below are six facts about 2014’s real estate market that as an investor you should know.

1. Job Growth Has an Impact on Real Estate

 It has been noticed that a place where employment is higher has better real estate statistics. Before you finalize the deal, try to know about the employment facts and figures of the place you want to invest in. More employed people would mean more buying power that translates into good demand for your property.

2. Invest in “Smile”

 The smile investment theory is doing rounds. The smile begins from Northeast and moves south to cities along the Sun Belt — Florida, Texas, Arizona — and then comes back up to the Northwest — Northern California, Oregon and Washington state. Midwest is at a low currently. Smile areas are going to witness more real estate investments this year.

 3. Apartments v/s Single Homes Market

 The multi – housing societies sold like hot cakes during recession. As we see a good growth out of recession this might change. Investors are keener on buying single market houses in contrast to multi-housing apartments. This has resulted in reduced demand for apartments reducing their value in the real estate market.

4. Suburban is the New Urban

Suburbs that have easy accessibility to facilities and are well connected make a good market for real estate investments. These areas are witnessing some big real estate projects and are open for good investment. This investments turn out to be quite fruitful as the ‘urban turned suburban’ fetches good money because of its sudden change of status.

5. Low Mortgage Rates

 Make hay while the sun shines. Surprisingly the mortgage rates stick to being low and are not expected to increase any time this year. This also means reduced headache of making arrangements for finance from various sources. This gives investors a great opportunity to buy their favorite house/property this year.

 6. FHA’s Profitable Policy

 The Federal Housing Administration’s HAWK is a great boon for investors. The program states that if the borrower is ready to undergo housing counseling he can avail a reduced upfront fee of 1.25 percent as against 1.75 percent originally. This in turn reduces the annual mortgage insurance premium of by 0.10 percent.

Make use of all the facts available and have a calculated and planned approach towards your investment. Some of the advantages existing this year might cease next year onwards because we are recovering step by step from recession every year. Investments made this year are sure to give you a good deal in the years to come.