Is “California Dreamin’” still happening for the 72% of Americans dreaming of homeownership these days? Not so much, says Trulia’s chief economist, Ralph McLaughlin. Why? Affordability, natural disasters, lack of inventory and tax upheaval.
Dreaming of homeownership in the Northeast is also falling off as well. Slower job growth jumps to the number one spot among the above stated buyers’ concerns in this area of the country.
So, what does the nation’s 2018 housing market look like, according to Trulia? Trulia recently commissioned the Harris Poll to survey some 2,000-industry consumers to find out. (Harris utilized the metrics of job growth, vacancy rates, affordability and the percentage of people under 35 years old.)
1. Less enthusiasm in buying…10% indicate they plan to buy in the next 12 months… despite more Gen Xers transitioning from renting to buying and more Millennials (34%) jumping into the market for the first time
2. More enthusiasm in selling though only 6% of homeowners indicate they plan to sell their homes within the next 12 months
3. Lower demand for homes in hurricane, flooding and wildfire-prone areas
4. Higher concerns for current homeowners living in natural disaste- prone areas…Houston, Miami, Caribbean Islands, West Coast…and how those disasters affect their homes.
Considering the possible implications of more inventory, softening prices and hyper-local shifts to and away from specific regions of the country, Trulia anticipates that the biggest winners for the 2018 housing market will be midsized cities in the South and Midwest.
Among Trulia’s top 10 cities to consider when Americans dream of homeownership are
1. Grand Rapids, MI
2. Nashville, TN
3. Raleigh, NC
4. El Paso, TX
5. San Antonio, TX
6. Fort Worth, TX
7. Austin, TX
8. Columbus, OH
9. Madison, WI
10. Cincinnati, OH