Can you believe that the new year is just around the corner? I bet you're wondering if 2024 will be a good time to buy or sell a home. Well, let me tell you, if you want to make the best decision, it's crucial to hear what the experts have to say about the housing market. And guess what? The projections for 2024 might actually surprise you – in a good way! Let me break it down for you.

Experts Forecast Ongoing Home Price Appreciation

Wondering about future home prices? Well, Fannie Mae, the Mortgage Bankers Association (MBA), and the National Association of Realtors (NAR) have made their predictions. Stay ahead of the game by checking out these forecasts. Whether you're a buyer or seller, this information can help you make informed decisions. Keep reading to find out what the experts have to say about future home prices.

Take a look at the orange bars on the left. They show that on average, experts predict that prices will increase by around 2.8% by the end of this year, and another 1.5% by the end of 2024. It's pretty surprising news, considering a lot of people thought prices would drop this year. But guess what? Prices didn't plummet in 2023. That's because there just weren't enough homes for sale compared to the number of people who wanted to buy them. And let me tell you, that shortage is still very much a reality. It's all about supply and demand, and this situation is still pushing prices higher as we head into the new year.

Looking ahead, experts predict that home prices will continue to increase next year, but at a slightly slower pace compared to this year. While the projected rise in 2024 may not be as substantial as in 2023, it's important to understand that home price appreciation adds up over time. In simpler terms, if the experts are correct, based on the national average, after your home's value has increased by 2.8% this year, it should see another increase of 1.5% next year. This continuous growth in prices is a significant reason why owning a home can be a wise choice in the long term.

Projections Show Sales Should Increase Slightly Next Year

2023 hasn't seen a ton of home sales compared to what we usually see in the housing market, but experts think there might be more action next year. Here's what those three organizations predict for the rest of this year and for 2024.

So, basically, we're expecting total home sales to increase a little bit. And you know what? That's great news for the housing market and for folks like you who want to buy or sell a house. As more and more people move, it creates more opportunities for those of you who are on the hunt for a new home. So, things are looking up!

So, what are these forecasts telling us? Well, it looks like the housing market is expected to be quite lively in 2024. This could be because there will always be folks who need to make a move. Whether it's getting a new job, starting a family, tying the knot, or going through a divorce, these big life changes tend to push people to move, regardless of what's happening in the housing market. And this trend is likely to continue in the coming years. Plus, if mortgage rates happen to drop, we can expect even more action in the housing market.

Bottom Line

If you're considering buying or selling a home, it's helpful to stay informed about what the housing market experts are predicting for the future. Knowing what's coming up can really help you make the best decision possible. So let's have a chat and discuss the latest forecasts together. We'll create a plan for your next move based on all the information.