---
title: Real estate trends to look out for in 2018
description: 2018 brings a lot of changes to the real estate market. The new tax law has changed financial prospects. A strong online brand for realtors is essential.
image: https://blog.skyad.com/hubfs/RE%202018%20real%20estate%20trends%20blog%20post.jpg
---

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# Real estate trends to look out for in 2018

 by [Paula Davidson](https://blog.skyad.com/real-estate/author/paula-davidson)  |  February 08, 2018  | [Real Estate](https://blog.skyad.com/real-estate/topic/real-estate), [Real Estate Marketing](https://blog.skyad.com/real-estate/topic/real-estate-marketing), [facebook advertising](https://blog.skyad.com/real-estate/topic/facebook-advertising), [facebok ads](https://blog.skyad.com/real-estate/topic/facebok-ads), [luxury real estate agents](https://blog.skyad.com/real-estate/topic/luxury-real-estate-agents), [2018 trends](https://blog.skyad.com/real-estate/topic/2018-trends)  | [0 Comments](https://blog.skyad.com/real-estate/real-estate-trends-2018#comments-listing)

[![](https://blog.skyad.com/hubfs/RE%202018%20real%20estate%20trends%20blog%20post.jpg)](https://blog.skyad.com/real-estate/real-estate-trends-2018)

In the ever-shifting world of real estate, it’s important to keep an eye on the horizon for new trends. This year, home buyers may have an easier time and the effects of the new tax bill have yet to be determined. Take a look at the forecast for 2018 and how to prepare.

### Predictions for 2018

Home prices are expected to climb, but not as fast as last year as we enter a cooling-off period. According to the Federal Housing Finance Agency, home prices rose by 6.3% in 2016, and 6.5% as of Q3 of 2017. However, for 2018 the prediction is for a modest 4.1% increase in existing home prices. A major factor for the decrease is an expected increase in the construction of single-family houses in 2018. There will be an estimated growth of single-family homes of 8% or roughly 912,500 new houses.

There is still a tight supply of homes for first-time buyers. There are several reasons for this. Many baby boomers are aging in their homes instead of downsizing them; investors that bought millions of homes after the housing bubble burst are now raking in money as landlords, and home builders are making more expensive homes outside the budget of first-time buyers. There will be some offset to this lack of supply later in the year as more single-family houses are built.

The new [tax law](https://blog.skyad.com/real-estate/the-new-tax-plan-and-real-estate-what-you-need-to-know) is also expected to impact the housing market, as more houses in high-tax states will go on sale. These markets are expected to get a bump in inventory. 

People are still consistently buying houses, and there are interesting challenges ahead for how the market will meet the demand. More millennials are buying houses as they enter their child-rearing years. There are also many [foreigners](https://blog.skyad.com/real-estate/real-estate-strategy-chinese-buyers) investing in U.S. property, with steady home price appreciation and a steady economy. Flips of older properties still see a good return, and bankrupt buyers from the last recession are now past their seven-year probation and ready to buy as well.

Mortgage rates are expected to climb in 2018, with the 30-year fixed rate averaging at 4.7% by the end of 2018. 

### Adapting your strategy 

Although in some ways 2018 may be an easier year for home buyers and sellers, there will still be challenges. To meet the challenges of today’s housing market, make sure you’re making the most out of your marketing strategy. 

More realtors are finding success with online branding. As an industry built on relationships, agents haven’t always needed to have an online presence. However, more investors are looking online and expect to find information there, such as a portfolio and credentials. If you don’t have that information readily available, a prospective client might move on. A strong online brand will keep prospective investors interested. 

Facebook is a great place to advertise your properties. Facebook has the ability to target your ads with strong segmentation tools, those likely to buy a home, down to the zip code. Facebook even allows you to prequalify potential customers by targeting by income level. For a relatively cheap way to list your properties, Facebook has powerful marketing tools.

To find out more about Facebook advertising, or other marketing strategies for your listings, contact Sky.

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