For the community of San Antonio, 2016 was a year of growth and development. New residents are flocking to the city in droves, enamored by the possibility of jobs and a strong economy amidst a welcoming, family-friendly city. However, housing inventory is down at the same time that demand is high — which is driving up home prices. This is good news for home sellers, but intimidating news for those who are hoping to buy a home in San Antonio. So, this begs the question, what does 2017 have in store for the San Antonio housing market?
2016 Year in Review
Throughout the calendar year of 2016, the San Antonio housing market experienced desperately low inventory rates. According to retired Texas economist Mark Dotzour, there should be about 6.5 months of inventory, but San Antonio consistently had about 3 months worth of inventory on the market. Simultaneously, a rising demand for homes could not be met by developers, who face hurdles with local regulations when it comes to building new subdivisions and planned communities in the area.
Despite these challenges, the housing market was still in a boom year, and the number of sales continued to increase. In fact, according to the San Antonio Board of Realtors, there were 400 more sales in November 2016 than there were in November 2015. In addition, home values continued to rise and sales prices increased significantly throughout the year.
San Antonio 2017 Housing Market Forecast
On the heels of 2016, the 2017 housing market in San Antonio is expected to remain competitive, and it is predicted that home prices will continue to rise. Dotzour notes that this is excellent news for those who are looking to sell their homes, and his comments are in line with predictions from Trulia, which ranked San Antonio as the 8th hottest real estate market to watch in 2017.
While the market seems to be ideal for sellers, 2017 also holds promise for home buyers who want to purchase real estate in the San Antonio area. Dotzour reminds buyers that they don't need to be discouraged or intimidated by rising mortgage rates. While these rates are on the rise, they are still historically low. The market can expect an influx of buyers this year, as KENS5 Eyewitness News notes that out-of-state buyers have their sights set on San Antonio.
Dotzour: Over 5 million job openings as of December 2016. Total net worth of America is $90 trillion. Consumer Confidence Index is up. #HF17— Liz Petroff (@RealLizPetroff) January 5, 2017
"Texas ranked second among states for inflow of U.S. residents in 2015, with 553,032 people moving to the state." https://t.co/F8XOW3sQrx— SABoard of REALTORS® (@SABoardREALTORS) January 6, 2017
Next Step: Focus on Finding an Experienced Real Estate Agent
As you look toward your goals for 2017, consider your real estate dreams and ambitions. Perhaps this is the year that you upgrade to your dream property, or maybe it's the year that you sell in order to downsize for your retirement. Regardless of your goals, it's critical to have the right real estate agent on your side. Liz Petroff is a dedicated agent who takes pride in her local knowledge and expertise. With a focus on the San Antonio market and an emphasis on personalizing the real estate process, she is able to provide you with the relevant and accurate information that you need to finalize your real estate decisions.
Liz Petroff is a dynamic real estate agent who works for all types of buyers and sellers. Whether you are a first-time home buyer looking to invest in the valuable San Antonio real estate market and want the competitive edge in this seller's market, or you are a home seller who wants to take advantage of the rising home prices, Liz is the agent that you want on your side. To find out the latest information about the current market conditions in San Antonio and to receive a customized market report, contact Liz Petroff today.