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.
In This Episode We Cover
Zillow’s updated housing market forecast and why they’re predicting prices to drop
The spring homebuying season’s “extra slowdown” and why buying/selling is so stunted
Skylar’s 2025 housing market and mortgage rate predictions
What happens when mortgage rates get cut, and whether this could fire up the housing market again
The real estate markets seeing the most price corrections, plus hot markets Zillow is keeping an eye on
Markets with the strongest rent growth (for single-family AND multifamily investors)
And So Much More!
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BiggerPockets Real Estate 959 - BiggerNews: 2024 Housing Market Update and Why Prices Are Still Rising
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Jump to topic:
(00:00) Intro
(01:41) Homebuying Sees “Extra Slowdown”
(06:56) Homes Sitting Longer
(08:39) More Inventory On the Way?
(13:42) Zillow Updates Forecast
(18:17) Markets Seeing Price Corrections
(21:35) Hot Markets
(23:00) Where Rents Are Growing
(27:10) Investors, Watch THIS
(29:53) 2025 Predictions
Check out more resources from this show on BiggerPockets.com and https://www.biggerpockets.com/blog/on-the-market-231
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