Absolutely! So, in the last few months, experts took another look at their predictions for home prices in 2024, considering the most recent data and market trends. And guess what? They're feeling even more sure now that prices will go up, not down.

Let's take a closer look at how experts' opinions have evolved and what's behind this shift.

2024 Home Price Forecasts: Then and Now

The table here gives us an idea of what seven expert organizations are predicting for home prices in 2024. It's a comparison between their initial forecasts made at the end of 2023 and their latest projections.

The experts initially thought home prices would only increase slightly this year, as shown in the middle column. But when you check the column on the right, you'll notice that they have all revised their predictions and now anticipate prices to rise more than they originally expected. Some of the disparities are quite significant.

So, here's the deal - there are a couple of major reasons why home prices just keep going up and up. The main one is that there are crazy low numbers of homes available for sale at the moment. I read this interesting piece on Business Insider that explains it all.

““Low home inventory is a chronic problem in the US. This has generally kept home prices up . . .””

— Business Insider

It's like this – we've been seeing prices go up because there aren't enough homes for sale, right? That's been the deal for a while now, and looks like it's gonna stay that way for a bit. The latest is that mortgage rates have shifted a bit though.

Late last year, when everyone was talking about how home prices would only go up a bit in 2024, mortgage rates were higher and buyer interest was kind of average.

It looks like now that rates have dropped since last October, and they're expected to go down even more this year, more buyers are starting to show interest. Because of this higher demand and the fact that there aren't enough houses available for sale, experts believe prices will rise more than they initially thought a couple of months back.

A Look Forward To Get Ahead of the Next Forecast Revisions

Real estate pros often update their predictions for home prices as the housing market changes. It's just part of their job to make sure their forecasts are current and consider the latest shifts in the market.

So, they'll keep updating their predictions as the housing market shifts, like they always do. Who knows what those forecasts will look like next, but it's a good idea to keep an eye on mortgage rates.

If prices continue to decrease throughout the year, as experts predict, we might see an increase in buyer interest and could even expect higher forecasts for home prices.

So, here's the deal - when it comes to real estate, it all boils down to supply and demand. Right now, the supply is pretty scarce. So, if anything boosts the demand, you can bet that prices will also rise.

Bottom Line

So, initially, the experts thought home prices would have a slight increase this year. However, they've had a change of heart and now predict that prices will rise even more than they originally anticipated. Feel free to reach out, and I'll give you the lowdown on what to anticipate with prices in our area.