The housing market is the place where people buy and sell houses. The prices of houses can fluctuate depending on the supply and demand in different areas. Some areas may experience a decline in home prices, which means that houses will become more affordable in those places. This could happen in the West, where houses are very expensive and out of reach for many buyers. Other areas may have stable prices, which means that they will not change significantly. This could happen in the Midwest and East Coast, where houses are more reasonably priced and there is more interest from buyers.
Some experts predict that home prices will rise in May due to seasonality, which means that more people tend to buy houses in spring and summer than in winter. However, other experts doubt this prediction and think that prices will not increase much because of high interest rates and low employment rate.
Here are some experts and their comments about the market:
- Greg McBride said that home prices will go down in the West, where they are already high, and stay the same or go up a little in the Midwest, East Coast, and Southeast, where they are more reasonable.
- Justin Feil said that in Los Angeles, there are not many houses for sale at certain prices, and that homeowners who bought or refinanced their homes when interest rates were low have no reason to sell them and buy new ones. He also said that a new tax on very expensive homes makes homeowners want to stay in their homes.
- Lawrence Yun said that home prices are mostly stable in most parts of the country, except for the West Region where they are lower because they are too expensive for many people.
- Danielle Hale said that home prices could go up in May because more people tend to buy houses in spring and summer than in winter. But she also said that the increase will not be as big as last year, and that the difference between this year’s and last year’s prices may get bigger but still be less than 3%.
- Daryl Fairweather said that home prices will go down because of high interest rates and employment issues, which make it harder for people to buy houses. But she also said that there is still a lack of houses for sale, which makes prices go up.
- Ralph McLaughlin said that home prices will keep going down in May and June, but that they will stop going down by July and start going up by August.
- Jeff Tucker said that home prices will be flat or slightly down in May, but that they will go up later in the summer as more houses come on the market and buyers take advantage of lower interest rates.
©2023 by Freddie Mac
For more information check out the article by Alisa Wolfson at MarketWatch.com.
