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YOUR 2016 HOUSING FORECAST
BY BRANDON CORNETT,
HOME BUYING INSTITUTE
The U.S. housing market had a strong year in 2015, and next year could bring more of the same. But we probably won’t see as many double-digit home price gains in 2015, like we did this year. Supply and demand imbalances could continue to drive prices north, while job gains could bring more buyers into the market. These are a few of the housing market forecasts and predictions we are hearing for 2016.
5 Housing Market Predictions for 2016
It’s that time of year again, when the Home Buying Institute rounds up a collection of insightful — and sometimes controversial — predictions for the
U.S. residential real estate market. We
begin with home prices and we end with Millennials, with a sprinkling of mortgage rates and employment trends in between.
HERE ARE FIVE KEY PREDICTIONS FOR THE U.S. HOUSING MARKET IN 2016:
1. Home prices will rise more slowly in most U.S. cities.
Over the last couple of years have, we’ve seen home prices rise rapidly
in many parts of the country. This was often the result of a supply and demand imbalance. In many large metro areas, there were plenty of home buyers in the market but not enough homes to meet demand. Prices tend to rise rapidly under such circumstances.
Many housing market forecasts for 2016 agree that prices will probably rise more slowly than they did in 2015, as more homes come onto the market.
In July, the nancial data company CoreLogic issued a forecast for the U.S. real estate market. At that time, the company was predicting a 4.7% rise in national home prices through July 2016
According to the report, “the CoreLogic HPI Forecasts indicates that home prices [in the U.S.], including distressed sales, are projected to ... increase
by 4.7% from July 2015 to July 2016.” For more on their real estate
market predictions for 2016, visit www.CoreLogic.com.
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A FRESH BATCH OF HOUSING MARKET
FORECASTS AND PREDICTIONS FOR 2016