Homebuyers faced many challenges in 2023, including high interest rates and low inventory of homes for sale . But 2024 could give buyers a break in some areas.
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This year, inventory could improve as some sellers accept higher interest rates, rather than feeling like they can’t move and give up their existing mortgage, Zillow predicted. The real estate site also expects housing prices to stay flat in 2024, and even if mortgage rates stay the same too, that could give buyers more time to save money and increase earnings, thereby making homebuying a little more affordable .
“I believe affordability will see a slight improvement in 2024. Rates are expected to decline, but not at a pace that is going to initiate a frenzy among buyers,” said Cody Horvat, licensed real estate broker at The Scott Group , a division of Compass. “This will give buyers a little more breathing room than they received last year.”