As the housing market continues to change, you may be wondering where itâ€™ll go from here. One factor youâ€™re probably thinking about is home prices, which have come down a bit since they peaked last June. And youâ€™ve likely heard something in the news or on social media about a price crash on the horizon. As a result, you may be holding off on buying a home until prices drop significantly. But thatâ€™s not the best strategy.
A recent survey from Zonda shows 53% of millennials are still renting right now because theyâ€™re waiting for home prices to come down. But hereâ€™s the thing: the most recent data shows that home prices appear to have bottomed out and are now on the rise again. Selma Hepp, Chief Economist at CoreLogic, reports:
â€œU.S. home prices rose by 0.8% in February . . . indicating that prices in most markets have already bottomed out.â€
And the latest data from Black Knight shows the same shift. The graph below compares home price trends in November to those in February:
So, should you keep waiting to buy a home until prices come down? If you factor in what the experts are saying, you probably shouldnâ€™t. The data shows prices are increasing in much of the country, not decreasing. And the latest data from the Home Price Expectation Survey indicates that experts project home prices will rise steadily and return to more normal levels of appreciation after 2023. The best way to understand what home values are doing in your area is to work with a local real estate professional who can give you the latest insights and expert advice.