Housing market 2024

What’s next for the housing market?

by
Green Escrow | New construction, housing

No matter where you stand in the political divide, it’s clear that the election of Donald Trump will have widespread implications across the broad swath of American life.

What about housing?

One of Trump’s major campaign promises was to deport millions of undocumented. immigrants. At a rally in Arizona, Trump declared that immigration “is driving housing costs through the roof” and that his mass deportation plan lower home prices.

Analysts report that undocumented immigrants are not qualified to conventional mortgages and must purchase homes with cash. While this is certainly unlikely (perhaps 0.1% of home purchases), higher immigration levels can certainly drive up rents in a city.

Analysts also agree that undocumented immigrants may make up to as much as 15% of the construction workforce and that mass deportation could only make a labor shortage crisis worse and actually drive up home prices.

The state with the hottest housing markets is …

by
Green Escrow | Real Estate News

New Hampshire. Surprised? Actually, you shouldn’t be because it’s been the hottest market for ten months in a row!

Why, New New Hampshire, you ask. Well, for one it’s only 55 miles from Boston and, while Manchester isn’t cheap – $572,000 is the median home price – it’s considerably more affordable than Boston’s median home price of $837,450.

What else does New Hampshire have going for it? Try zero state income or sales tax.

So there!

The housing market 2024: What’s next?

by
Green Escrow | Real Estate

Pure speculation, to be sure but here’s what a number of analysts foresee for the remainder of 2024:

  • Mortgage rates will fall … some: While the Federal Reserve certainly seems on pace to cut interest rates in September – and possibly again before the end of the year – it’s difficult to say precisely the impact this will have on mortgage rates, other than to say they will definitely fall.
  • Inventory will rise … some: While housing stock has improved considerably in2024 to date – climbing 35% on a year-over year basis – it’s predicted that as mortgage rates drop, more current homeowners will consider putting their homes on the market.
  • Home prices will increase … some: Even as mortgage rates drop and inventory rises, home prices are expected in continue to inch up, maybe by 4.6% by the close of 2024.
  • Home sales will increase … some: So, taking into account all of the above, home sales are projected to increase by .08% to a total of 4.1 million, the second lowest total since 2012.

And the direction of the 2024 housing market is …

by
Green Escrow | buyer regrets

Simply put, Who Knows?

Since December, mortgage rates have dropped to the mid-6% range – good news.

New home sales are up 8% and pending home sales rose 8.3% – good news.

Active listings rose 8.6% – good news.

The National Association of Home Builders expects single-family home construction to rise by 5.5% – good news.

Clearly the situation is improving and analysts expect the market to be closer tp 2018 and 2019.

Then again…