Signs point to a fifth straight year of rising home prices, increased sales, and booming home construction in Southern California, reports Jeff Collins of The Orange County (Calif.) Register.
He talks with market leaders to come up with six housing predictions for the new year.
“The issue here isn’t the trends. The trends are positive,” said Christopher Thornberg, a former UCLA professor and founding partner of Beacon Economics. “On the other hand, you’ve got this new administration coming in, and we’re not sure (what policies) they’re going to pursue.”
Tax cuts and increased infrastructure spending would stimulate economic growth, Thornberg said. That’s good for housing.
But a trade war with China and an ideological confrontation with California “could really hurt our economy, and all bets are off,” he said.