Zillow’s latest housing market forecast shows a decline in home prices over the next year after a very slow spring homebuying season. While spring is traditionally the hottest time of the housing market, with more sellers and buyers hitting the market at once, this year was stunted significantly. Will this trend continue as housing inventory remains at rock-bottom levels, or are things gradually improving, with a return to normalcy in sight? We’ve got Dr. Skylar Olsen, Chief Economist at Zillow, on to share the latest forecast and which markets could be in trouble.
With mortgage rates still hovering around seven percent, homebuyers and sellers are stuck. Sellers don’t want to trade into a more expensive mortgage payment, and buyers can’t afford today’s median home price. As a result, some under-the-radar, affordable real estate markets are seeing home and rent prices increase, while some traditionally hot markets are already seeing price corrections.
Where will the next correction hit, and which markets will have the most opportunity for real estate investors? Skylar explains it all, plus why Zillow updated their recent home price forecast to show a DROP in home values over the next year.
Dave:
The spring buying season is a super important time for the entire real estate industry, but over the last couple of years it hasn’t been as hot as it normally was. So what actually happened this year? Was it as hot as economists predicted? What did inventory and home price growth even look like and how will that change over the rest of the year? Today we have a market update episode for you.
Hey everyone, and welcome to the BiggerPockets Network. I’m Dave Meyer, and if you’re listening on the BiggerPockets real Estate feed, it’s Friday. So that means we have a bigger news episode for you, but we are also playing this on the market feed. And if you’re there, welcome, good to have you all here for today’s episode. We are bringing on Dr. Skylar Olsen, who…