InvestingReal Estate December 8, 2023

10 Housing Predictions for 2024

Just announced were these 10 insightful predictions for 2024 from Matthew Gardner, Windermere’s Chief Economist. ⬇️

1️⃣ Although some suggest there will be a housing bubble in 2024, I find this implausible.

2️⃣ Inflation and the economy are starting to slow, which leads me to believe that mortgage rates will drop to around 6% in 2024.

3️⃣ I expect a modest increase in listing activity, but many homeowners will be hesitant to sell and lose their current mortgage rate.

4️⃣ I don’t expect prices to drop in 2024. However, growth will be a very modest 1%.

5️⃣ Home prices will match or exceed there are 2022 highs in the vast majority of metro areas across the country.

6️⃣ Although new construction remains, tepid, builders are benefiting from the lack of supply in the resale market and gaining greater market share.

7️⃣ With rising home prices and the pace of borrowing cost far exceeding income and gross, affordability will likely erode further in 2024.

8️⃣ Although the government has started to take housing and affordability more seriously, more needs to be done.

9️⃣ Mortgage delinquency levels will continue to rise in 2024, but they will simply be returning to the longer-term average and are not a cause for concern.

🔟 The number of homes for sale will improve modestly in 2024, which, combined with lower mortgage rates, should result in about 4.4 million home sales.

You can watch the full video with Matthew’s prediction by clicking here. For further conversation with questions of how this might effect your real estate goals in 2024, feel free to reach out to me.