2019 Real Estate Market Forecast
2019 Real Estate Market ForecastDecember 17th, 2018 by Karen
Where are home prices and mortgage rates headed in 2019?
Where are home prices headed in 2019?
Some people are concerned that we are on the verge of depreciation. However, out of 105 projections by economists, market analysts and real estate experts, 104 say prices are going to continue to appreciate going into 2019 and through 2019.
National Home Price Projections by Year
National projections show that home prices are expected to increase through 2019 and beyond. Here’s a table showing you the results of the Home Price Expectation Survey, Zelman and Associates, Mortgage Bankers Association, Freddie Mac, National Association of REALTORS (NAR) and Fannie Mae think going forward.
Projections by State Over Next 12 Months
CoreLogic breaks it down by state for the next 12 months. There is no state in the country that is going to show depreciation.
Where Are Mortgage Interest Rates Headed?
The interest rate you pay on your home mortgage has a direct impact on your monthly payment. The higher the rate, the greater the payment will be. That is why it is important to know where rates are headed when planning your home search.
Below is a chart created using Freddie Mac’s U.S. Economic & Housing Marketing Outlook. Interest rates are projected to increase steadily through the end of 2018 and into 2019.
Home Prices Summary
The important things to note about these charts are:
1. Appreciation is going to slow down but no depreciation is projected.
2. National projections show appreciation continues through 2019 and beyond
3. Projections by state show appreciation across all states for the next 12 months.
4. Mortgage interest rates are projected to increase through the end of 2019.
Historical normal appreciation is 3.7%. Home prices are going to slow down through 2021 and that is a good thing so we do not hit the another bubble.
Homes are expected to appreciate and mortgage interest rates are expected to increase through the end of 2019. You many be wondering how this will affect you. Contact me to discuss your situation!