Aucklanders viewing properties elsewhere
27th Jun
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Bank of America strategists have announced that the "positive feedback loop has begun" in the American real estate market, according to business reporters, The Financial Post.
The expected gain to property prices in 2013 was projected at 8 percent, with an ever-improving forecast of up to 14 percent through to 2015. The FP reported that after six years of crashing, burning and stagnating, the property market is finally shooting higher. It's "gathering momentum," said U.S. property economist Paul Diggle, and "we think the rebound in the market is sustainable." This drastic rise to home prices started in 2012 as unemployment declined, mortgage rates fell to record lows and the pool of listings shrunk, to spark greater competition amongst buyers.
The Post said that investors are continuing to flood the market and purchase properties to both live in, and rent out. "There's an enormous amount of foreigners buying," noted ReMax broker and real estate author Kimberley Marr. "They see the value and they're seeing the recovery."