November 20, 2018
Thing are quieting down as we move into the Thanksgiving holiday. This is a great time for reflection as we all have a lot to be thankful for. It is also a time to look back to see how far we have come, as well as a look at what the future may bring. Regarding the future, the economic predictions for 2019 are already starting to roll in and we will spend some time reviewing these in the coming weeks. As we look back at how far we have come, it is interesting to note that the stronger economy and weaker real estate market we are now experiencing did not arrive overnight.
Today’s economy and real estate market are a product of a long and slow recovery from a very deep recession. For example, our economic growth has exceeded 2.0% six out of nine years since the recession and has never dropped below 1.5% during that time. It looks like this year will top 3.0% for the first time in over ten years–but that is not indicative of an overheated economy. Likewise, if you look at existing home sales, they have risen steadily since the recession from a low of just over four million to a high of just over 5.5 million. They have hovered between 5.25 and 5.6 million for the past five years. The small drop in housing sales will keep them towards the high end of that range. Certainly not a sign of a major slump.
Now that the economic recovery has matured, we don’t think that we can expect significant spikes in growth and that is probably a good thing, because that would cause rates to continue to rise significantly. The spikes we have had in the past years were due to temporary stimuli such as housing tax credits for first time buyers and the more recent tax cut. But we can’t do that every year with our budget deficit so high. So, let’s be thankful for the steady recovery we have and be hopeful that it continues for a few more years.
Source: Origination Pro
Are you buying a home or business in Queens, Brooklyn or NYC NY? Amerimutual Mortgage is a local business that is owned and operated by two brothers who are proud to make a difference helping their community in Astoria NY. By matching home buyers with the right mortgage products for their needs, Benny and Phil Loria provide vital loan lending services to the real estate community of New York City. Amerimutual Mortgage provides home loans for residential properties and commercial loans for business men and women who might be buying buildings, warehouses or retail store locations. They also provide loans for real estate investors who may be buying multi-family duplex, triplex, quad, or high-rise apartment building. Call Benny Loria at (718) 943-9200 to discuss your options for residential or commercial real estate loans, or assessing value and returns on real estate investment property in New York City and surrounding boroughs of Queens NY, Brooklyn NY, Staten Island NY, Bronx NY. Or, you can even apply for a mortgage online.
Benny Loria, Vice President (NMLS#: 900146)
718-943-9200 Ext. 115
Local neighborhood mortgage loan experts. We live and work in Astoria, Queens NY and are dedicated to seeing our community grow and prosper.
AMERIMUTUAL MORTGAGE (NMLS# 148447) Address: 18-33 41st Street, 2nd Floor, Astoria, NY 11105 Tel: (718) 943-9200 Fax: (718) 204 – 0657