Housing market data is a powerful tool for tracking trends and shedding light on how a particular area or market has performed over time. Historically, Kentucky REALTORS® has compiled housing statistics and published market performance data for public consumption. However, one piece that has always been missing was a predictive tool to use data to forecast how the housing market will perform in the future.
As part of its mission to educate and inform the public about Kentucky’s Housing Market, Kentucky REALTORS® has teamed up with data company HousingIQ to create a unique market forecast for the Commonwealth. HousingIQ has developed a platform that looks at various market input data, such as housing data, local labor market conditions, interest rates, and personal consumption, and then uses that information to predict how the average consumer’s financial situation and housing needs might affect the market over the next 12 months.
“It’s a comprehensive look at the myriad of factors that can affect the housing market in a given area”, said Vidur Dhanda, founder of HousingIQ parent company WAIN Street. “Quantifying the vitality of a housing market is a valuable tool for the real estate industry and it’s a great use of our economic data curated from both public and proprietary sources.”
Kentucky REALTORS® President Lester Sanders said this is just another way that the state association can serve both its membership and decision-makers across the state. “We’ve always been able to tell legislators how many homes sold in their district in a given month. Now we are able to convey what the market forecast looks like which can possibly shape policy” Sanders continued. “These decisions will affect the consumer and are tied directly to our advocacy goals.”
Currently in development is a REALTOR® market opinion survey which will take “street-level” knowledge and expertise and quantify REALTOR® confidence. This additional look at the market adds a human factor that transcends a numbers-driven formula.
KYR Director of Communications, Paul Del Rio, who is helping cultivate the partnership with HousingIQ, is hopeful that this will evolve into a powerful tool that is useful to more than just KYR REALTOR® members. “REALTORS® will love having this data to share with their buyers and sellers but the real estate industry affects almost every aspect of life and businesses in the state”, he said. “Lawmakers, small business owners, homebuilders and investors all have a vested interest in how the market performs. We are confident these reports will be a valuable resource to them as well.”