Data tells us home prices are rising. Yet worries of a crash linger. About 23% of consumers expect a drop within a year, not rise. So what do experts think?
First, while a few opinions may not sway your perspective, a broader consensus among experts might provide assurance. Consider the Home Price Expectation Survey (HPES) conducted by Pulsenomics. This survey compiles the forecasts of over 100 economists, strategists, and analysts. Thus, their collective expertise is a powerful tool to gauge the trajectory of home prices.
The latest data from HPES is promising. The data indicates an expected upward trend in home prices annually through 2027! Projections show that 2023 will witness a robust appreciation of 3.32%. Following that, the upward climb is anticipated to continue with an increase of 2.17% in 2024.
It’s important to note that home price appreciation is cumulative. What does this mean for homeowners? If these projections hold true, the value of a home that appreciates by 3.32% this year will further rise by an estimated 2.17% the next, compounding the gains.
Nationwide Projections vs. Local Markets
Next, although local markets can vary, the national forecast offers a general barometer of health. The expert consensus underscores a return to what’s considered a normal growth rate for the market.
The Implications for You
If abstract percentages haven’t captured your attention, perhaps a concrete illustration will. By applying the projections from the HPES to an average home’s value, we can visualize the potential for growth in tangible terms over the next few years.
The Bottom Line
For those apprehensive about falling home prices, a host of industry experts are signaling that the horizon looks bright. An national trend of ongoing price ascension is expected for the foreseeable future.
Have more questions about whether prices will rise or fall? Consult with those who navigate these waters daily. Reach out to the knowledgeable real estate specialists at NewportbeachPad.com or call 949.478.3774 today. They stand ready to offer personalized advice that ensures successful transactions.