In one of our latest posts, we noted how homebuyers were once again interested in buying luxury real estate in Southeastern CT. According to Realty Biz News, “Last July saw sales of homes costing above $1 million rise by an astonishing 46.6% from July of the previous year.” In fact, one real estate economist told the New York Times that luxury homebuyers are yet again driving the market:
“The housing market is being driven by the move-up buyer, the luxury buyer. And those who have strong incomes, secure jobs, their stock portfolio is doing well — they are able to buy whatever they want. And what they are buying is larger houses.”
But that’s not all. A new survey has found that homebuyers and home sellers alike, across the board, are beginning to feel more confident in the local real estate market and have admitted to being more likely to buy and sell homes in Mystic, Niantic, Old Saybrook, East Lyme this year. As compared to last year, homebuyers have agreed that conditions are now more favorable in real estate and home sellers are boasting a similar confidence.
This new survey has shown that 78% of participants view real estate conditions in the current market as favorable, a notable five point increase compared to last quarter and an increase of 15 points as compared to the last quarter of 2012. Luxury homebuyers are not only driving the housing market, but also urging more home sellers to jump in while the timing is right. The most optimistic, according to the fourth quarter Consumer Outlook Survey as analyzed by RisMedia, was the ever-expanding group of Millennials with their perception of favorable real estate conditions coming in at 87%.
Why the sudden change in optimism for Southeastern CT real estate? Experts suggest the fact that “consumers understand the US economy and the real estate market is continuing to recover,” reported Realty Biz News. And in keeping with this trend of recovery, homebuyers and home sellers are also making a solid recovery from what was a less than beneficial time in the real estate market— many homeowners have now regained positive equity in their homes. People now feel more confident in their own finances and ability to purchase a home, not to mention now see the advantage to make a move while homes are still affordable and interest rates still manageable.
Another factor contributing to the willingness of Southeastern CT homebuyers and sellers to make a move this year is the large number, 60% to be exact, who expect the “number of house sales to rise during the year and [the] 65% [who] feel optimistic about the housing market in general for 2014.”
With homeownership still deeply important to the majority of buyers, 78% agree that owning a home is still part of the American dream and 96% view owning a home as important. 2014 will be a big year for those who acknowledge the investment aspect of purchasing Southeastern CT waterfront and oceanfront homes and look forward to growing their wealth over time with real estate.