Philadelphia, PA - Millennials significantly impact the Pennsylvania real estate market. They make up almost a quarter of the state's population, and their first-time homebuyers will be vital to the market's future.
What Are Pennsylvania's 2023 Real Estate Market Predictions?
A recent analysis predicted that the Pennsylvania real estate market will experience growth in 2022 but that the trend will stall in 2023. Although this will mean that prices will be less steep in the coming years, it will also result in a slower market, which could help avoid the following real estate crash. One reason for the slowdown is the increase in millennial buyers. They will significantly impact the housing market in the coming years. In addition, the mortgage rates have been meager, making it easy for buyers to afford a home. This is good news for investors looking to flip a home.
However, the low-interest rates also have a downside. As mortgage rates continue to rise, the affordability of homes will be affected. This will also cause some buyers to delay their purchase plans.
The number of properties for sale will increase, creating a more competitive market. This will lead to more negotiation between buyers and sellers. This means that the housing market will remain a seller's market in 2023.
The average cost of a one-bedroom property increased by 10.1%, while two- and four-bedroom properties dropped by 2.3% and 19.9%, respectively. The average home spends ten days on the market before it sells.