The 2019 housing market remains in the balance as several factors continue to have a strong influence.
According to an article Forbes Contributor Joshua Pollard, while there are various influences to consider with the 2019 housing market, there are 5 that stick out. He states that the benefits from the 2017 Tax Cuts and Jobs Act, the mortgage interest deduction (from the 2017 Tax Cuts and Jobs Act,) the uncertainty of interest rates, the housing market stabilizing, and the impact on the US economy from imports, exports, and other trade relations.
With the effects of the US Tax Cuts and Jobs Act, it will be the first reform to US tax code in over 30 years. When the bill passed in 2017, it was noted that the effects wouldn’t not take place until taxpayers submitted their 2018 taxes in April of this year. While there are multiple effects from the bill, the bill will most notably lower tax rates for business and individuals. Other impacts on taxpayers include the mortgage interest deduction, which was capped in the tax reform bill.
In regards to the submission of taxes in the next few months, many are continuing to watch the ongoing US government shut down. While partial, one of the affected departments is the Internal Revenue Services.
The fluctuating interest rates, as dictated by the Fed, is currently paused as they look to see the current impacts of several sources on the US economy, (click here for more information interest rate speculations from the Fed.) If everything goes as expected, the housing market prices will stabilize, competitively decrease in price, and effectively become a buyers market by the end of 2019.