Housing Market Forecast 2025
Preamble:
This article is courtesy of Forbes Magazine, and is chock full of information. The real estate market nationwide is in flux, but you can't generalize "how's the market" because it is very hyper local. It may be a very strong seller's market on one area of Long Island, while homes are sitting a bit longer in other areas. There is still a shortage of homes for sale, but the amount of buyers has decreased as well. For details, see the article below, and then click on the link for the full article at the end.
_________________________________________________________________________________________________________
In April, U.S. home prices experienced a 2.7% annual increase—the slowest appreciation since mid-2023—down from the 3.4% growth reported in March. This data comes from the latest S&P CoreLogic Case-Shiller Home Price Index, which tracks single-family home values and is calculated monthly using a three-month moving average.
This report encompasses home sales from February to April, a period characterized by increasing inventory and a U-shaped trend in the average 30-year mortgage rate. The rate began in the upper 6% range in February, fell to the mid-6% range in March, and then rose again in April, nearly returning to its starting point.
Although price growth has slowed, the index still reached a new record high.
Home affordability remains a significant challenge and is likely to persist in the near future. However, budget-conscious buyers can still find opportunities if they know where to look.
“We’re witnessing a housing market in transition,” stated Nicholas Godec, head of fixed income tradables & commodities at S&P Dow Jones Indices, in the report. “The era of broad-based, rapid price appreciation appears to be over, replaced by a more selective environment where local fundamentals hold greater importance than national trends.”
For those seeking better affordability, homes priced under $300,000 can be found in Midwest metro areas such as Detroit, Cleveland, and Dayton, Ohio. A recent Redfin report ranked these locations among the ten cheapest places to buy a home out of the 91 most populous U.S. metro areas. Additionally, Buffalo, New York, St. Louis, and Baton Rouge, Louisiana, with median prices under $300,000, also made the top ten list.
Courtesy Forbes.com. For Full Article, click here