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Lawrence Yun, NAR chief economist, said a review of the past year is instructive. “Despite the turmoil in the economy, the overall level of pending home sales has been remarkably stable over the past year, holding in a generally narrow range,” he said. “We did see a spike in August when mortgage conditions temporarily improved, which underscores two things – there is a
pent-up demand, and access to safe, affordable mortgages will bring more buyers into the market.”
Yun expects growth in the U.S. gross domestic product (GDP) to
contract through the first half of 2009, then stabilize and
expand in latter part of the year – lifted by a home sales
recovery. “Given the critical role of housing in an economic
recovery, we’re confident sufficient stimulus will be offered to
bring more buyers to the market,” he said.
Looking at middle-ground assumptions,
existing-home sales are forecast to total 4.96 million this
year, and then increase to 5.19 million in 2009
and 5.55 million in 2010.
New-home sales for 2008
should total 486,000 this year, decline to 393,000 in 2009 and
then grow to 446,000 in 2010. Housing starts,
including multifamily units, are projected at 934,000 units in
2008 and 731,000 next year before rising to 772,000 in 2010.
With the national economic downturn nearing the trough of decline,
it is crucial to ensure your property is positioned for the coming
demand. Parker Associates recommends
you re-examine strategic planning and positioning of your
development relative to changing market conditions. Parker
Associates can update any previous studies at a
substantial savings off the cost of the original study fee or
produce a new study in as little as a few weeks. Please call us today at (904) 992-9888, or visit
www.parkerassociates.com. |
