More on the Real Estate Market and a summary of a “consensus forecast” by real estate economists. If you have any thoughts or questions about this topic please email me at [email protected]. This edition of Around the Block was originally published on Saturday, 12/12/20.
Relevant Commentary, all information Philly (real estate and otherwise), Open Houses, Listings, Happenings, and More — by Jeff “City” Block
I wanted to follow up on last week’s post on the Philly Real Estate Market (in case you missed it, read it here) with a bullet-point summary of a “consensus forecast” by real estate economists opining on the same topic on a national level.
This is what the economists predicted–
Job growth is slowing now (as the effects of the stimulus taper off) but a new stimulus package should see unemployment rates fall in 2021 and then even further in 2022.
Without a stimulus package, we could enter into a modest recession.
If we get a stimulus package and the vaccine is a success, that could be a “home run.”
Mortgage rates will rise but still remain incredibly low. They predict around 3% in 2021 and 3.25% in 2022.
The K shaped recovery may cause issues for 1st time homebuyers and could cause affordability issues in some segments of the market (even with the low rates).
The affordability issue could be exacerbated by continued low inventory, which may continue upward pressure on prices.
It is more likely that home pricing will go up then down.
The percentage of US workers that will continue to work from home will fall slightly to 18% in 2021 and then to 12% in 2022. In 2019, prior to the pandemic, the share of Americans who worked from home was 5%.
While I believe these predictions are reasonable, they are far from certain. Predictions are always fun to read but they are still just “expert guesses.” So perhaps, use them as a guide. That is what I will do. But I would not bet the “house” on them. As I said last week (and always), the best real estate decision is the one that works best for your and your family’s personal timetable. Do not try to time the market.
If you want to discuss specific circumstances, timing, logistics, or your specific property, please do not hesitate to reach out.
Content summarized from Inman News
“Economists predict GDP growth, mortgage rate increases in 2021.”
BY PATRICK KEARNS | Staff Writer
CBT Open Houses on hold. Safe private showings continue.
The City Block Team strives to be a leader in the real estate community and keeping our clients, and community safe is always a primary goal. So our open houses remain on hold until further notice due to the substantial rise in COVID-19 cases in the Philadelphia area.
All of our listings remain available for safe, private showings at your convenience, and we are always available to show.
So if you planned to hit an open house this weekend, just let me know ([email protected]). Or, if you already have a buyer agent, please contact them, and we will set the showing right away, at your convenience.
Thank you for your understanding.
Spotlight Property of the Week
326 S 21st Street
6 bedrooms | 4 full baths | 3 half baths | family room | several office spaces | finished lower level | one-car GARAGE | private patio | 6,875 Sq. Ft.
Welcome to the Northwest corner of 21st & Delancey. A significant and important Rittenhouse Home with a 94-foot south-facing facade along Delancey Place, culminating in a one-car GARAGE with a lovely, private patio above (walk-out from the stellar family room).
This grand residence features 6 bedrooms, 4 full baths, 3 half baths, the family room with walk-out patio, several office spaces, finished lower level–all large spaces–an Elevator, and of course GARAGE Parking.
It has a magnificent presence, with original detail and restored character. The heart of the home (systems and wiring) has been updated to meet 21st century standards while maintaining the home’s original grand elegance. The kitchen and baths are ready to be updated by the new buyer. And best of all, the home is priced to accommodate these changes. A brilliant home in the City’s best location, with recent substantial improvements, too many character elements to catalog, and the ability to complete the home to your exact tastes. The Perfect Philadelphia location, the 2100 block of Delancey, the gorgeous tree-lined block that is convenient to everything–with a 98 WalkScore, 100 TransitScore, and 99 BikeScore.
This year’s festive displays begins in time for the first day of Hanukkah, and shines throughout the Festival of Lights (December 10-17).
An ideal spot to catch the colors is from the platform above the Fairmount Fish Ladder, located on the Schuylkill River Trail just off Martin Luther King Jr. Drive. (Note: MLK Drive is currently closed to traffic, so guests will need to walk.)
As always, please know that I’m humbled by and appreciative of your introductions and referrals. If you have a friend, colleague, or family member that is in need of Expert Real Estate Representation, please have them contact me.
Be assured, I will do my best to exceed their expectations! Thanks for taking the time to read this issue of Around the Block.
Some imagery in this e-newsletter was sourced via Visit Philadelphia®., UWISHUNU Philadelphia, and Compass