The economy will experience ups, downs, and plateaus in 2019. After a well rounded 2018, how will 2019 fare against it? Well, professionals are saying not that great. This year will be slowed, not drastically, but we should expect numbers to go down. You can not expect numbers to stay high forever. This is just economic nature; like a roller coaster, it goes up and down.
However, 2019 will have upsides. The unemployment rate is expected to drop to 3.3 percent, whereas in 2018 it was 3.7 percent. Over 200,000 jobs were created last year, this year another 160,000 jobs are expected to be generated. The number is lower solely because people are working and have gotten jobs. Employers also have "sideline" workers waiting for their opportunity to work for their company. These "sideline" workers most likely have other jobs, so they are not hurting the US economy in any way. Some other positives coming to 2019 include spending less money on gas and oil, and consumer spending should grow another 2.7 percent from last year. More money in your pocket and less money on gas bills could help you afford the dream house you are wanting.
Now for possible slowdowns this year. Since wages are growing consumer spending is getting higher. However, this will lead to profit margins for businesses to go down. Companies should also expect higher interest rates on loans this year.
This year will also bring some negatives. Because of inflation, we can expect higher rates for credit cards, home equity lines, mortgages, and car loans. Due to the highly probable increase in mortgage rates, the time to buy is now. If you wait, you could be looking at a long time before rates go down again.
If you're ready to make the leap, choose SETCO Services and we'll be there with you from the start to finish of your closing process.