The upcoming year is just around the corner, and you may be contemplating whether 2024 is the optimal time to buy or sell a home. To make the most informed decision, understanding the insights of housing market experts is crucial. Here's a sneak peek: the forecasts might pleasantly surprise you. Here's why.

Anticipate Ongoing Appreciation in Home Prices Check out the latest predictions for home prices from key sources such as Fannie Mae, the Mortgage Bankers Association (MBA), and the National Association of Realtors (NAR):

As depicted in the left-side orange bars, on average, experts predict a 2.8% overall increase in prices by the end of this year, with another 1.5% expected by the close of 2024. This is noteworthy news, especially considering the widespread belief that prices would plummet this year. The reality is, prices didn't experience a significant decline in 2023, primarily because the supply of homes for sale fell short of meeting the demand from eager buyers. This imbalance in supply and demand continues to exert upward pressure on prices as we approach the new year.

Looking ahead, experts foresee a continued rise in home prices next year, albeit not as substantial as in 2023. Even though the expected increase in 2024 is comparatively moderate, it's essential to grasp that home price appreciation is cumulative. Put simply, if the experts are accurate, your home's value, on a national average, will increase by 2.8% this year and an additional 1.5% the following year. This persistent growth is a significant factor in why owning a home is a wise decision in the long run.

Projections Indicate a Slight Increase in Sales for Next Year While 2023 has seen relatively fewer home sales compared to more typical housing market years, experts project a modest uptick in activity for the next year. Here's what these three organizations predict for the remainder of this year and for 2024:

While the expectations point to a slight increase in total sales, this improved activity is positive for the housing market and for individuals like you, whether you're buying or selling. As people continue to relocate, it opens up opportunities for prospective buyers seeking a new home.

So, what's the takeaway from these forecasts? The housing market is expected to be more dynamic in 2024. This could be attributed to the constant need for people to move due to new job opportunities, family changes, or other life events, irrespective of market conditions. This trend is anticipated to persist next year and in the years to come. Additionally, if mortgage rates decrease, we can anticipate even more activity in the housing market.

In Conclusion

If you're contemplating a real estate move, staying informed about the experts' forecasts for the housing market's future is crucial. Being aware of what lies ahead enables you to make the most well-informed decisions. Let's discuss these latest forecasts together and develop a strategic plan for your next move.