Exploring Latest US Real Estate Trends

While no one can say for certain how the future of the real estate market will pan out, there are several trends and indicators that give us a good idea of how the rest of 2010 and 2011 will play out around the United States. Here’s a look at some of real estate trends the market has seen and how they will likely affect us over the next several months or even years.

Trend #1: Remaining a Buyer’s Market
Although the housing market has shown signs of improvement, it is likely to remain a buyer’s market for some time now. In other words, the low prices and large inventory we have seen over the past year or so is likely to continue through at least the rest of the year.

Trend #2: More Foreclosures to Hit the Market
Although home values have been starting to stabilize in some areas, this doesn’t mean foreclosures have come to an end. While the rate of homes being foreclosed upon should continue to slow, we are still likely to see more foreclosures than the norm over the next several months.

Trend #3: Stabilizing Home Values
Home values have already started to show some signs of stabilization in certain markets throughout the country and, fortunately, we are likely to see more stabilization over the next several months. Of course, many markets will still continue to struggle during this same time frame.

Trend #4: Increased Mortgage Rates
While mortgage rates have still remained at the lowest rate they have been in 50 years, this trend is not likely to continue. As the market continues to stabilize, interest rates are likely to go up in the near future. Nonetheless, it looks like those who are interested in purchasing a home should still enjoy low mortgage rates for at least a few more months.

Trend #5: Lending Standards Remain Tight
Although lending standards have loosened up a bit, they are likely to remain tight for quite some time. While it will be easier to purchase a home than it was just a year ago, you should still expect to be asked to show plenty of documentation and to have excellent credit if you hope to purchase a home in 2010.