Night temperatures are below freezing as the sun goes down. Starting last Thursday pm the thermometer dropped into the 20s. It’s brisk and fun with a chill in the air. Scarves, hats and heavy jackets are essential — earmuffs for the little ones. Even our dog Zoey has a jacket. STEP 1. Last week we reported the decline in Arrowhead Woods sales in three tiers starting at $100,000, $500,000 and over $1million. The media is reporting sales falling across the nation in the fourth quarter with a net drop in sales across the country. STEP 2. GROUNDWORK FOR A 2015 PLAN: WHERE ARE WE NOW?Arrowhead Woods prices are doing well, rising 25% in the past two years. Economic news is very good; stock market, retail sales, plummeting gas prices, rising employment, Fed holding interest rates down. Vacation home sales are driven by consumer confidence, now at a ten year high, using discretionary income to purchase a second home.Arrowhead Woods inventory is low. The sales risk is overcautious home sellers.
Top 3 Housing Predictions for 2015; Realtor.com economists
- Existing home sales will increase +8%: Existing home sales will grow as more sellers and buyers enter the market motivated by a clear belief that both rates and prices will continue to rise.
- Home prices will gain +4-5%: Low inventory levels and demand driven by improved employment opportunities will push home prices up in 2015.
- Mortgage rates will end the year at 5%: Mortgage rates will increase in the middle of 2015. Thirty year fixed rate mortgages will reach 5 percent by the end of 2015. One year adjustable mortgages will rise minimally.