Commercial market to see moderate expansion
The National Association of Realtors says that commercial real estate
activity should continue to grow in 2016, boosted by increasing credit conditions and job growth. However in its commercial real estate forecast, the association expects property prices to cool. Vacancy rates for offices are expected to fall 0.8 per cent to 14.8 per cent nationally during 2016 with industrial space to decline 1.4 per cent to 9.7 per cent and retail vacancies to slip to 11.3 per cent, a 1.3 per cent decline.
The multifamily market may see a moderation in 2016: "The best days for multifamily housing could be winding down as new construction has already surpassed historical averages," said NAR economist Lawrence Yun. "This sector has been the industry's top performer over the past several years as a result of younger households struggling to become homeowners and the demand for apartments far exceeding supply in many markets."
The NAR report suggests that commercial mortgage lending restrictions are easing slowly.
Strong fall for Mass. market
The fall home buying season is staying strong in Massachusetts according to realtors. Closed sales increased by 7.8 per cent in October compared to a year earlier, the fifth straight month of increases. Condo sales were slightly lower though after 4 months of gains (down 2.73 per cent year-over-year.) Median prices increased by 3.1 per cent year-over-year for single-family homes to $335,000. Median condo prices were up 5.3 per cent year-over-year to $316,000. Inventory was down 16.7 per cent for single-family homes and 17.1 per cent for condos.
Don’t do it yourself – homeowners’ regrets
Homeowners who thought they might improve their homes for their own pleasure, or ready for the market, have frequently wished they hadn’t. A new poll from Zillow found that three quarters of homeowners have completed a DIY project in the last three years but 40 per cent wish they hadn’t. The top regrets; adding a room or expanding one; kitchen or bathroom cabinet replacement; refinishing basement or attic; new carpets; new hardwood flooring. The poll showed that the larger projects tended to result in breaking the budget.