Real Estate Market Trends: What to Watch for in 2024 with Tom Townsend
In this episode of A Wiser Retirement™ podcast, Casey Smith is joined by Tom Townsend, Realtor with Townsend Realty Group. Tom has been a guest on our podcast many times. They talk about real estate market trends, what to watch for in 2024, interest rates, rental properties, and tips for first-time home buyers.
Listen or Watch on YouTube:
Summary:
Over the past two years, the market has shifted and people are no longer buying new homes as quickly or easily as they used to. The process of buying a new home, including selling an existing property, has become more challenging and less frequent. Inventory has become extremely low across all real estate segments, with some areas having less inventory than others. Inventory shortages have led to high property values.
One 2024 trend is the return of incentives for new construction, including bonuses for agents and incentives for buyers, to encourage sales. Tom discusses the concept of “ghost inventory,” which refers to new homes that are being built but not yet on the market. The statistics for ghost inventory are hard to come by, as the data is often looking backward, but new building permits can provide some indication of the amount of new construction being done.
The affordability of rental properties is often a concern for buyers, and the rental yield is lower than historical averages. It is important to consider capitalization rates and the internal rate of return when making investment decisions in today’s market. Although property values may increase over time, it is important to keep in mind that some buyers may also face capital gains taxes when selling their properties.
Looking ahead to 2024, Tom expects the market to stay similar to what it is now, with no major changes across the board. However, continued pressure on interest rates and low inventory could impact the market. He advises potential buyers to go ahead and buy their dream home, and then when interest rates finally drop again to consider refinancing.
Click here to download our eBook on “Buyer Beware: Why do they keep trying to sell you that annuity?”
Links:
Connect:
Twitter, Instagram, Facebook, LinkedIn, and YouTube.
Learn more about A Wiser Retirement™ podcast and access previous episodes.
Recent posts
Share This Story, Choose Your Platform!
Wiser Wealth Management, Inc (“Wiser Wealth”) is a registered investment adviser with the U.S. Securities and Exchange Commission (SEC). As a registered investment adviser, Wiser Wealth and its employees are subject to various rules, filings, and requirements. You can visit the SEC’s website here to obtain further information on our firm or investment adviser’s registration.
Wiser Wealth’s website provides general information regarding our business along with access to additional investment related information, various financial calculators, and external / third party links. Material presented on this website is believed to be from reliable sources and is meant for informational purposes only. Wiser Wealth does not endorse or accept responsibility for the content of any third-party website and is not affiliated with any third-party website or social media page. Wiser Wealth does not expressly or implicitly adopt or endorse any of the expressions, opinions or content posted by third party websites or on social media pages. While Wiser Wealth uses reasonable efforts to obtain information from sources it believes to be reliable, we make no representation that the information or opinions contained in our publications are accurate, reliable, or complete.
To the extent that you utilize any financial calculators or links in our website, you acknowledge and understand that the information provided to you should not be construed as personal investment advice from Wiser Wealth or any of its investment professionals. Advice provided by Wiser Wealth is given only within the context of our contractual agreement with the client. Wiser Wealth does not offer legal, accounting or tax advice. Consult your own attorney, accountant, and other professionals for these services.
