Let's think OPTIMISTICALLY, folks!
One day, hopefully, one day soon - the U.S. Housing Market will come roaring back! (Remember - think positive!)
When that day comes, and when inventory begins to fall, prices begin to stabilize, and those sheets of plywood come some off those houses across the Portage Park, Englewood, and Garfield Park Neighborhoods in Chicago - who will be leading the way back, and doing most of the resurgent buying?
Research by Mintel International Group suggests minority home buyers - Hispanics, African-Americans, and Asians - will lead the charge back. So will a group they call "Echo Boomers" - those under 30 who are the children of we Baby Boomers.
Many from these demographic groups missed our last Housing Boom of a few years ago because prices escalated so quickly. With prices now lowered, many here will attempt to make their move.
According to Mintel research, these groups are not only fast growing, they are very eager to buy homes. Although only 23% of the general population surveyed plans to purchase a new home within the next five years, the intent is far stronger among younger adults and minority buyers.
Of course, these new buyers must meet today's new, highly-strengthened loan standards - standards unlikely to loosen much within the next five years. But their pent-up demand, alongside the resurgence of low-down-payment FHA Loans for those with not-perfect credit, may provide the road map to home purchase.
Susan Menke, Senior Financial Services Analyst with Mintel, suggests lenders and home builders focus on these demographic segments as the housing market rebounds.
See our post today @ BlogChicagoHomes.com for more, as well as a link to Mary Umberger's column in the Chicago Tribune on October 5th.
DEAN & DEAN'S TEAM CHICAGO