Joe’s Memphis Real Estate Predictions for 2012
Earlier this week I posted about the year-end residential real estate sales figures for 2011. Will real estate be better in 2012? Who knows? A few pundits indicate consumer morale is improving. We definitely have historic low mortgage rates. The inventory I have shown lately has been of good quality and value. The stage is set for a better year than 2011.
This is the first time I have ever made predictions. We will return to this post this time next year to see how I did. [Disclaimer: these are my opinions only and should not be used in making real estate decisions. Always consult a licensed agent with a good reputation for real estate advice; and remember, all real estate is Micro-local. What holds true for your community or neighborhood, may not hold true for mine]
Memphis Real Estate Predictions for 2012
- Unit sales will increase significantly in 2012 - the demand has been pent-up for a really long time. People are going to start buying houses to live in again.
- Home prices will remain flat or decline slightly - it is going to take a while to cycle through the valuation thing. Among the Zestimates, appraisals, unrealistic sellers, foreclosures, and short sales, we will be struggling for some reality in valuation for a while.
- Foreclosures will increase in 2012 - they were only slowed down in 2011 by government actions.
- The Presidential election will have little or no impact on the housing market.
- Real estate consumers will engage more in social media and online research than in the past, continuing to erode effectiveness of print information/advertising.
- Consumers will demand more information via mobile devices. Agents and companies will begin to realize the proper use and effectiveness of new technology, such as QR codes.
- The government will dabble in the housing market again with another costly and ineffective program like the First Time Buyer Tax Credit a few years ago.
- There will be more outcry from both sides of the aisle in Congress to cut back or eliminate the home mortgage interest deduction.
- Housing in Downtown Memphis will make a major comeback.
- Schools will be a bigger issue than ever for families purchasing homes.
- Demand for condominiums throughout the city will increase.
OK, that’s my 10 predictions. What are some of your predictions for Memphis real estate in 2012?
