Making predictions is a tricky business but pest management professionals can be sure that the housing market and weather conditions will influence the market this year.
A good housing market usually bodes well for termite control. But this year, housing markets will seek new balance, stated Realtor.com Senior Economist George Ratiu in his 2020 forecast.
He expects mortgage rates to increase to an average of 3.88 percent by year-end and that half of all home purchase mortgages would be made by millennials.
Sales of existing homes are expected to decrease 1.8 percent. Gen X and baby boomers will continue to hold on to their homes, limiting supply of homes available for sale, stated Ratiu. He anticipates the existing home median sales price to appreciate 0.8 percent.
Single-family housing starts are expected to increase 6 percent. According to Ratiu, buyers will continue to move to areas with affordable housing, which will benefit mid-sized markets.
In regards to weather, warmth and moisture are good for insect activity. This spring will provide a little of both. From March through May, the southeastern, south central and western U.S. are expected to experience above-normal temperatures, reported the National Weather Service’s Climate Prediction Center.
The precipitation forecast, however, varies significantly by region. Below- average precipitation is expected in the West and southwestern U.S., and above- average in the Northeast, Southeast, Midwest and north central states, reported the Center. Parts of the South Central U.S., Pacific Northwest and mountain states had an equal chance of experiencing above, below or normal precipitation.
