The beginning of a new year is a good time to take stock of the past year and reflect on your goals for 2019. While many of us will set goals for our health, career or personal lives, don’t neglect to set your real estate goals for the coming year, too.
Market conditions in 2019 will present myriad opportunities for first-time homeowners, move-up homeowners and real estate investors. Having a well thought-out plan of action will be key to realizing your real estate goals this year. Whether you are a renter, homeowner or investor, now is the time to evaluate your current real estate situation and make a plan for 2019.
Still renting? It's time to escape the rental trap
With increasing inventory in many Oahu neighborhoods comes less competition from other buyers and more homes from which to choose. New condominium projects are also slated to enter the market in 2019, many of which will offer affordable units.
Although interest rates have been rising, they are still historically low, and you may be able to put down as little as 3.5 percent toward your home purchase. Active-duty and retired military members may not need a down payment at all!
Tip: Use our Rent Accumulation Calculator to see how much money you're spending on rent that could be going toward a mortgage instead.
Current homeowner? Trade up to a new home
Current homeowners will also have more options to trade up in the New Year, thanks to more available listings than in recent years.
With record-high median housing prices on Oahu, now is a great time to leverage the equity in your current home to move into a home that can accommodate a growing family, minimize commute time or free you from tedious home maintenance.
If you think that you haven’t owned your current home long enough to move up, you might be surprised to learn the value of your home may be more than you think.
Tip: Use the Locations Home Valuator to get an instant, free home valuation.
Ready to invest? Learn about 1031 exchanges
If you already own real estate investments—whether here in Hawaii or elsewhere—January is a good time to examine your portfolio and assess how your investments are performing. If you have a property (or properties) that are under performing or may require costly maintenance sooner rather than later, current market conditions are ripe to exchange into a property that will command a greater return, has greater potential for appreciation, or won’t require expensive repairs or fees.
Real estate investment properties can provide you with additional monthly income, as well as set you up to help children with college tuition, or to plan for your own retirement someday.
Tip: With more available inventory than in previous years, now is a great time to use a 1031 exchange to improve your portfolio's position.