2019 Economic Predictions
What is going to happen to our economy this year?
WUDDUP IT’S HALEY!
Happy 2019 everyone!
New year, new interest rates is what I always say.
If you haven’t heard, I’m a Personal Mortgage Consultant in Washington State.
In other words, I get you financing to buy a home and help you make smart financial decisions for your future! YAS KWEEN!
I have other videos explaining the mortgage process and what it takes to buy a home.
But today, I’m going to talk about the economy and my predictions for this year.
I hope this can help guide you when you are making financial decisions.
So… drum roll please…
Your 2019 economic predictions are…
- No recession
- Job growth is going to remain strong in Washington state
- And the housing market will continue to weaken
Let’s talk about the first one.
I do not think there will be a recession in 2019.
Vocab card: A recession is when the Fed drops interest rates to spur economic activity, and that’s when mortgage rates drop as well.
Did you know… as of right now… we are in the second longest economic expansion in our history.
If it continues into summer, it will be the longest expansion on record!
Here’s the deal – every expansion is followed by a recession – be it mild or severe.
So we are due for a recession… technically… but I don’t see it happening until at least 2020.
With that said, hopefully rates will stay in the mid-5’s and by 2020 get to the low 4’s or even 3’s.
Ok onto the next one… Job growth.
We left 2018 with solid job growth not only in Washington State but the entire United States!
This is great people!
The current level of unemployment in Washington State is at 4.3 percent - an all-time low that extends back to 1976!
I see this continuing as long as we stay out of a recession.
Ok here’s the kicker… the housing market will continue to weaken.
Over the past 6 months, Seattle home prices and Washington state housing construction has weakened considerably.
This is great news for buyers!
This means you will be able to get more bang for your buck.
Also, interest rates are still at historically low levels. Which is so exciting!
Right now they are in the mid-4’s to 5’s.
I think they will go up to the high 5’s by the end of 2019.
But, think back to the beginning of this video, if a recession hits in 2020 – rates may go down to the 3s!
So in other words, it’s a great time to invest in property.
These are my predictions for 2019.
Reach out to me to discuss your options for financial growth.
I’m your Personal Mortgage Consultant and I’m here for you every step of the way.
Happy New Year everyone!
Reach out to me right now if you have any questions.
Thanks for watching!