If you’re wondering what’s happening with home prices lately, you’re not the only one. With so much information, figuring out your next move can be challenging.
As a buyer, you might be worried about paying more than you should. And if you're considering selling, you might be concerned about not getting the price you aim for.
So, here's a quick breakdown to help clear things up and show you what’s happening with prices—whether you're thinking about buying or selling.
Home Price Growth Is Slowing, but Prices Aren’t Falling Nationally
Throughout the country, home price appreciation is moderating. That means prices are still rising, but they're not growing as quickly as in recent years. The graph below uses data from Case-Shiller to make the shift from 2023 to 2024 clear:
But rest assured, this doesn't mean home prices are falling. All the bars in this graph show price growth. So, while you might hear talk of prices cooling, what that means is they're not climbing as fast as they were when they skyrocketed just a few years ago.
What’s Next for Home Prices? It’s All About Supply and Demand
You might be curious about where prices will go from here. The answer depends on supply and demand and will vary by local market.
Nationally, the number of homes for sale is increasing, but there still aren’t enough to meet today’s buyer demand. That’s keeping upward pressure on prices – even though recent inventory growth has caused home price appreciation to slow. Danielle Hale, Chief Economist at Realtor.com, said:
“. . . today’s low but quickly improving for-sale inventory has ushered in more market balance than would otherwise be expected . . . This should help home prices maintain a slower pace of growth.”
And here’s another thing you may not have considered that could affect where prices go. Since experts say mortgage rates should continue to decline, more buyers will likely re-enter the market in the months ahead. If demand picks back up, prices could climb a bit further.
Why You Should Work with a Local Real Estate Agent
While national trends give a big-picture view, real estate is always local – especially when it comes to prices. What's happening in your neighborhood might be different from the national average based on what supply and demand look like in your market. That’s why getting local insights from a knowledgeable real estate agent is crucial.
A local agent is your go-to source for everything related to home prices. They can provide the most current data and trends specific to your area.
So they can help you price your house accurately if you plan to sell it. And when you’re ready to buy, they can find the right home that fits your budget and needs.
Bottom Line
Home prices are still rising, just not as quickly as before. Whether you’re thinking about buying, selling, or just curious about what your house is worth, let’s connect so you have the personalized guidance you need.
