The housing market is growing — and strong growth is projected to continue in 2017.
More homes are expected to be sold in 2016 than in any year since the Great Recession. The sales rate is also expected to increase in 2017.
All four forecasts call for an increase in home sales in 2016, with an average increase of 4.1% over last year. All four forecasts also call for 2017 to be even stronger, with an average 3.4% increase over this year’s sales.
Home prices have fully recovered from the Great Recession decrease, with more growth expected.
Late last year, U.S. home prices in general surpassed their pre-recession peak and now stand 4.5% above that peak, reached in early 2007.1
U.S. home prices increased at an average annual rate of 6.1% in the year ending in the third quarter of 2016.1
Over the past three years, U.S. home prices have increased at an average annual rate of 5.5%.1
The median price of existing homes sold rose 6.8% in 2015 and is projected to rise 5.2% this year and 4.5% in 2017, according to the average of the three home price forecasts.
The median price of new homes sold rose 4.8% last year and is projected to rise 3.4% this year and 3.1% in 2017, according to the average of the three home price forecasts.
Posted on December 3, 2016 at 1:02 am by Dan and Debi Valentino