“Overall, we expect 2024 to be a better year than 2023 for homebuyer affordability and the mortgage industry,” Fannie Mae’s chief economist said:
Fannie Mae’s Economic and Strategic Research (ESR) Group says they expect home sales to reach 4.5million units in 2024 up from 3.8million in 2023.
The ESR also expects home prices, as I’ve expressed in my past articles, will see a modest growth of 3.2%, down from 7.1% in 2023.
The fact is the “Covid Effect” has weaned and we are seeing a return to a normal market. However, we’ll have to see if the drop in rates opens the floodgates, bringing a rush of buyers who have been stuck in their current homes, unwilling to trade-in their historically low interest rates. <br>
Remember, buyers have been battling rising interest rates while home prices were still climbing. The low inventory we’ve seen since early 2020, also kept many buyers, especially first time buyers, from finding a home. <br>
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