How 2023 Housing Market Projections Could Affect the ZINC Income Fund

Money.com recently posted its “5 Expert Predictions for the Housing Market in 2023”. What happens in the residential housing market has a direct effect on the ZINC Income Fund, with its focus on residential fix and flip loans. The article discussed potential 2023 trends including:

 

Mortgage Rates Likely to Pull Back

After increasing to a 20-year high of over 7%, experts are looking for mortgage rates to settle around 5.5% towards the end of 2023. This decrease allows those fixing and flipping homes more flexibility including the option to sell the refurbished house upon completion or refinance and rent it.

Home Prices will Level Off

Those interviewed for the article vary in 2023 housing pricing movement from a slight decline of 4% to staying level for the year. The lack of a large, predicted decrease is favorable for the fund as fix and flip borrowers can have greater confidence in achieving their planned sale price upon rehab completion.

 

Inventory will Remain Tight

Experts project an increase in housing inventory in 2023 as rates eventually lower, however even with that increase, inventory will remain historically low. This provides opportunity for fix and flip borrowers to continue selling within a shorter than typical timeframe if priced correctly.

 

Overall, with experts predicting the 2023 housing market to remain fairly level with lower mortgage rates, fix and flip investors will have opportunities to successfully execute without worry of a major crash. This market comfort and stability should lead to further demand for short term lending, like that provided by the ZINC Income Fund, to take advantage of the market conditions.

 

If you are interested in learning how you could benefit from an investment in the fund to start earning your 8% yield, Click here to request the offering documents for the fund or contact us directly at 559-326-2509.

Source: https://money.com/housing-market-2023-expert-predictions/

RELATED POSTS

RELATED POSTS