Posted 12/25/2023, 12:44:00 PM
Housing Market Overvalued, But Dips and Gains Forecast Ahead
- Home prices may increase up to 3% in 2023 and 4% in 2025 after expected Fed rate cuts in 2024
- 88% of housing markets were overvalued in Q2 2022, up from 73% in Q1 2021
- Homes were 9.4% overvalued in Q2 2022, increased from 7.8% at end of 2021
- Realtor.com predicts a 1.7% home price dip in 2024 due to lower mortgage rates slowing demand
- High mortgage rates and home prices made 2022 the least affordable US housing market since 2013