Let’s talk 2024 real estate forecasts! As we move into a new year, I thought it might be helpful to take an honest look at what the housing market has in store for us. So, grab your favorite snack and join me on another real estate rollercoaster ride through forecasted 2024 housing market predictions!
2024 Housing Market Predictions & Real Estate Forecasts
The Rise of the Hybrid Home
In 2024, our homes are not just places to sleep and eat; they’re becoming the ultimate multitaskers. With remote work here to stay for many, the demand for home offices is still hot. But the buzzword now is “hybrid.” Homebuyers will be on the lookout for properties that offer flexible spaces that offer multiple uses and are multi-functional. Like a room that can be an office by day and a cozy reading nook by night.
Eco-Friendly Features Level Up
Sustainability is not just a trend; it’s a lifestyle choice. In 2024, homes with eco-friendly features are gaining even more traction. From energy-efficient appliances to rainwater harvesting systems, homeowners are going green in style. The environment says thank you, and our wallets might just benefit too!
Co-Living 2.0
Say hello to the upgraded version of co-living. While multigenerational living was popular in 2023, 2024 takes it a step further. Friends are becoming family and co-living spaces are becoming the norm. Expect to see more shared housing models catering to diverse demographics, from young professionals to retirees looking for community vibes.
Tech Integration Reaches New Heights
If your home doesn’t talk to you by 2024, is it even a home? Smart living is evolving, and our houses are becoming tech marvels. From AI-driven home management systems to holographic entertainment setups. Smart homes are not just about convenience anymore; they’re about creating an experience.
Affordable Housing Gets a Spotlight
In the midst of rising housing prices, the cry for affordable homes is getting louder. Governments and developers alike are focusing on creating housing solutions that won’t break the bank. So, whether you’re a first-time buyer or looking to downsize, there might be some budget-friendly gems waiting to be discovered.
The Suburbia Comeback Continues
The allure of wide-open spaces, community vibes and a break from the urban hustle isn’t fading anytime soon. Suburban living remains on the rise as people seek a balance between city amenities and the tranquility of the outskirts. It’s the best of both worlds.
Key 2024 Housing Market Stats & Predictions
- Overall, NAR forecasts an improved outlook for 2024. They predict 4.71 million existing-home sales in 2024, which is 13.5% more than 2023.
- Top 10 cities with pent up housing demand for 2024: Austin, Dallas, Dayton, Durham/Chapel Hill, Harrisburg, Houston, Nashville, Portland (Maine), Philadelphia, Washington (DC).
- The median home-sale price in America as of November 2023 was $387,600, up 4 percent from one year ago.
- Annual median home prices are expected to remain largely unchanged at the national level in 2024, for the second straight year, modestly improving affordability from rising income.
- The trend of rising home prices is expected to continue in many markets, although at a potentially slower pace compared to previous years. However some markets are actually seeing a drop in pricing. Affordability concerns are likely to persist, prompting a focus on affordable housing solutions.
- The nation had a 3.5-month supply of housing inventory as of November, which is low enough to be considered a seller’s market.
- Home-price growth rose by 3.9% in September 2023, making it the eighth consecutive month of increases.
- The inflation rate was 3.1% as of November 2023, slightly higher than the Fed’s goal of 2 percent.
- The average rate on a 30-year mortgage was 6.88% as of December 2023.
- Some predictions suggest that interest rates might experience slight increases. However, these changes are expected to be gradual and not significant enough to dampen overall demand for housing.
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