Existing home sales reached record levels in 1997 when 4.22 million properties were sold. We now seem on schedule to reach 4.75 million units in 1998, another banner year. Here are some factors to consider. If you bought with 5 percent down, you more than doubled the value of your cash investment. Employment levels have been remarkably high, a major by-product of an expanding economy.
More jobs mean more home buyers.
FHA Loan Limits. Substantially-higher FHA loan limits are now in effect, the result of a major legislative effort undertaken by the National Association of Realtors . Real estate is an inherently localized commodity. A new road, the opening or closing of an industrial facility, a flood or hurricane, downsizing, and other nearby events can all impact local realty trends. If most people think the economy is good, then to some degree it will be good merely because people are more willing to spend and invest.