Are you contemplating a housing move? If the prevailing fear of a looming home price crash in this year has you second-guessing your decision, it’s time to put those concerns to rest. Let data and expert opinions ease your uncertainty. Contrary to the worrisome projections of a substantial decline in home prices by 5%, 10%, or even 20%, reality paints a different picture. The principal reason behind this resilience is the severe scarcity of homes for sale. Demand significantly outpaces supply, which acts as a safeguard preventing prices from plunging.
To substantiate that 2023 isn’t shaping up to be a disappointment for home prices, let’s examine the latest forecasts from various experts:
Most Industry Experts Predict Positive Home Price Trends for 2023
Industry experts are in general agreement that home price appreciation will maintain a positive trajectory throughout 2023. The graph below showcases the year-end forecasts for 2023 from six distinct organizations:
As evident, nearly all the forecasts project positive national home price growth for this year. This consensus reflects the prevailing optimism about the future of home prices.
For those still concerned about the lone red bar representing an overall price decrease in the year, it’s crucial to remember that the projection from the National Association of Realtors (NAR) foresees only a minor decline. It’s far from the dramatic crash that sensational headlines had anticipated. Furthermore, when you aggregate all six forecasts, the overall expectation is for prices to exhibit approximately 3.3% positive growth over the year.
In case you remain unconvinced despite the unanimity of these six organizations, consider another compelling factor. One of the forecasts represented in the graph is the Home Price Expectation Survey (HPES) from Pulsenomics. This survey incorporates the insights of over 100 economists, investment strategists, and housing market analysts. The HPES findings indicate an average projected price growth of 3.3% for the year, consistent with the collective forecast derived from the six organizations.
Upon revisiting the graph, you’ll observe that the blue average for these forecasts is also 3.3%. While individual predictions may vary, both the HPES survey and the average of these forecasts align in projecting a 3.3% appreciation, a far cry from a market downturn.
In summary, if you’re fretting about a potential dip in home prices this year, you can rest assured. The collective wisdom of expert forecasts suggests that home prices are set to maintain positive growth this year. Should you seek further information about the local housing market, don’t hesitate to reach out, and we’ll address your concerns.