The new tax laws will definitely have an effect on Georgia homeowners. There is a new $750,000 cap on mortgage interest deduction, a fact that will have an impact on a percentage of owners in the higher price points. In addition, the cap of $10,000 on the combination of local and state property and income taxes will have negative consequences for some homeowners. If there is an upper-end slowdown in sales as a result, we hope that it will not have a long-term effect.
On a brighter note, according to REAL Trends, historical patterns indicate the general economy will get stronger this year. Business owners will benefit from lower taxes, which leads to more employment and more income for workers. That’s certainly a positive trend!
Doubling the standard deduction for singles and married households should also help prospective homebuyers who are saving for a down payment.
The Lund Group has a positive attitude (always) about predictions for a strong housing market in 2018. The cities in which we do a great deal of business (Alpharetta, Roswell, Woodstock, Cumming, Canton, and Marietta) are growing, and with that growth comes a strong real estate market.
The biggest obstacle in 2018 is likely to be low inventory, especially in the lower and mid price points. Three months or less of inventory creates a strong seller’s market where buyers are often competing for the homes they are attempting to purchase. It is helpful to work with an experienced agent from The Lund Group, as we know how to compete and win the bid for our clients. Our knowledge and expertise are big benefits!
We expect interest rates in 2018 to increase, so when you are ready to make a move … we can help! Just Email Cathi or call our office at 770-993-9572.