The housing market has gone through a lot of change recently, and much of that was a result of how quickly mortgage rates rose last year.
Now, as we move through 2023, there are signs things are finally going to turn around. Home price appreciation is slowing from the recent frenzy, mortgage rates are coming down, inflation is easing, and overall market activity is starting to pick up. All of that’s great news for the housing market this year. Here’s what experts are saying.
Cristian deRitis, Deputy Chief Economist, Moody’s Analytics:
“The current state of the housing market is that it is certainly in transition.”
Susan Wachter, Professor of Real Estate and Finance, University of Pennsylvania’s Wharton School:
“Housing is going to ease up. I think 2023 will be a turnaround year.”
Lawrence Yun, Chief Economist, National Association of Realtors (NAR):
“Mortgage rates have fallen in the recent past weeks, so I’m very hopeful that the worst in home sales is probably coming to an end.”
Robert Dietz, Chief Economist and Senior Vice President, National Association of Home Builders (NAHB):
“. . . it appears a turning point for housing lies ahead. In the coming quarters, single-family home building will rise off of cycle lows as mortgage rates are expected to trend lower and boost housing affordability.”
If you’re thinking about making a move this year, a turnaround in the housing market could be exactly what you’ve been waiting for. Let’s connect to talk about the latest trends in our area.
Carbonaro, Giulia. “Housing Market Reckoning Won’t Provide Salvation for Would-be Homebuyers.” Newsweek, 18 Jan. 2023, www.newsweek.com/housing-market-reckoning-wont-provide-salvation-homebuyers-1774415.
Gittelsohn, John, and Jennifer Epstein. “Housing Pain to Continue Until Economy Slows and Prices Fall.” Bloomberg, 12 Jan. 2023, www.bloomberg.com/news/articles/2023-01-12/housing-market-in-2023-will-be-shaped-by-fed-policy.
Veiga, Alex. “2022 Was Slowest Year for Us Home Sales in Nearly a Decade.” AP NEWS, 20 Jan. 2023, apnews.com/article/inflation-national-association-of-realtors-business-0fee2b2e18dd8e4aa047f892476fcba8.
Lloyd, Alcynna. “Homebuilders May Finally Be Turning a Corner as Inflation Stabilizes and Lower Mortgage Rates Bring Buyers Back Into the Market.” Business Insider, 18 Jan. 2023, www.businessinsider.com/2023-could-be-the-year-that-the-us-housing-market-gets-back-on-track-2023-1.