5 Ways Inflation Could Affect the 2024 Housing Market

Homeowners across the nation have felt the financial pressure of inflation. Rising mortgage rates have caused a slowdown in U.S. housing market activity, leading numerous buyers to postpone purchases; nevertheless, home values persist, showing resilience amid this trend.

According to a recent Goldman Sachs report, their market analysts estimate that home prices have gone up 4.2% so far this year but will dip slightly to wrap up the year with a +3.4% year-over-year increase. This will be followed by a more moderate rise of 1.3% projected for 2024.

How Much Is Your Home Worth Now?

Get a near-instant home value estimate from HomeLight for free. Our tool analyzes the records of recently sold homes near you, your home’s last sale price, and other market trends to provide a preliminary range of value in under two minutes.

Get Estimate

Before you make any move, it’s important to examine the current housing market and listen to what the experts are saying about inflation’s impact on homes. This is an in-depth look at how inflation is affecting the housing market, and what it means for you.

Anticipated decline in 2024 inflation: What to expect

Goldman Sachs foresees the global economy surpassing expectations in 2024, driven by strong income growth and confidence that the most significant interest rate hikes are in the past. The investment bank projects the worldwide GDP to expand 2.6% next year on an annual average basis.

The U.S. is anticipated to outperform other developed markets, with an estimated growth of 2.1%. Moreover, Goldman suggests that the impact of monetary and fiscal tightening policies has largely eased.

The investment experts at Morningstar are predicting a decline in inflation, which peaked in 2022, expecting it to diminish by the end of 2023 and into 2024. Their latest Economic Outlook attributes this to resolving supply chain issues and a moderated economic pace due to the Federal Reserve’s measures. They predict inflation to average 1.8% from 2024 to 2027, below the Fed’s 2% target. If inflation persists, Morningstar says the Fed stands ready to induce a recession to align it with the 2% target.

According to U.S. Labor Department data published on November 14, 2023, the annual inflation rate for the United States was recorded at 3.2% for the 12 months ended October, down from the previous rate of 3.7%, as highlighted by Coin News’ U.S. Inflation Calculator.



from HomeLight Blog https://www.homelight.com/blog/how-will-inflation-affect-the-housing-market/

Nhận xét

Đăng nhận xét

Bài đăng phổ biến từ blog này

How to Sell My House Fast in Washington DC: Cash Offer Options

Hình ảnh
Selling your home in the bustling Washington, D.C. area can feel like a daunting task, especially when you’re on a tight deadline. If you’re a homeowner faced with the need for a fast sale, you may be weighed down by questions and uncertainty. This guide is designed to help you navigate the real estate market in D.C. when time is of the essence. We’ll explore options such as getting a cash offer for your home and partnering with a top real estate agent. We’ll also provide expert tips to help sell your Washington, D.C. house faster. Sell Your District of Columbia House Fast With an All-Cash Offer Get an all-cash, no-obligation offer on your District of Columbia home through HomeLight’s Simple Sale platform whenever you’re ready. Receive your offer in as little as a week and close in as few as 10 days. No showings, no repairs, no open houses. Step 1: Request Offer Why you might need to sell your Washington, D.C. house fast Sometimes, life throws curveballs that demand quick d...
Đọc thêm

6 Reasons to Move to Brentwood, CA: Why You’ll Love Living Here

Hình ảnh
Nestled in the East Bay region just east of San Francisco, Brentwood, CA, is a hidden gem that blends small-town charm with the amenities and opportunities of big-city living. Known for its idyllic weather, high quality of life, and ample outdoor recreation, Brentwood has plenty to offer everyone looking to call it home. From its rich agricultural history and focus on local produce to its robust calendar of community events, there are countless reasons to consider a move to this thriving city. So, if you’re looking for homes for sale in Brentwood , apartments for rent , or are just curious about what the area has to offer, this Redfin guide is for you. To give you a taste, here are 6 reasons to move to Brentwood, CA, and why you’ll love living here.  1. Weather Brentwood has a Mediterranean climate , making it popular for people who love plenty of sunlight and limited rainfall. Winters are generally mild and wet, while summers are hot and dry with cool evenings. This kind ...
Đọc thêm

Buying a Mediterranean Style House: Luxury Living or Not Worth the Trouble?

Hình ảnh
You’re reading through the MLS listing of a new potential home, and you see “Mediterranean house” advertised front and center. Right away, your mind takes you to the seaside villas of Spain and Italy with red-tile roofs and gorgeous courtyards. A life of romance and leisure is undoubtedly ahead. Sounds great, right? It definitely can be, but beyond the mosaic tiling and rustic charm, there’s a lot more to Mediterranean houses. The Mediterranean-style home America knows so well dates back to the early 20th century and has seen fluctuations in its popularity over the last few decades. The style provides an excellent indoor-outdoor living balance, and the light, earthy tones give off a welcoming warmth. But, depending on your location and needs, the potential challenges may just cause more headaches than dreamy nights. So how do you know if a Mediterranean home is the right fit for you? We talked to real estate agents and architects with over 50 years of combined experience, and we sc...
Đọc thêm