When it comes to forecasting the housing market, we like to take a look at what the quarterly Home Price Expectations survey from Pulsenomics has to say. Any one, or even a handful of expert opinions, isn’t enough these days. Pulsenomics polls 100 of the top real estate and economic experts in the country to get their take on the housing market.
Though home prices are expected to continue to grow, there are potential threats to the housing market that could stall that growth. Even with a political, monetary policy or stock market crisis, no one expects a housing market decline like the one we had in 2008.
Here is what they had to say:
- On average, real estate economists and experts say there’s a 52 percent probability of next recession starting by the end of 2019.
- Most experts expect a geopolitical crisis will trigger the next recession, which a majority believe will have only a moderate impact on U.S. housing.
- Home values will climb 5.08 percent by the end of 2017, the group said, and by 3.40 percent in the next five years.
What is interesting to us is that even though home prices seem so high right now, the national home value average in December would be $204,060 – still below what experts say the average home value would have been at that time if the last recession had never happened ($214,506).
In case you love to delve into all the statistical data, here is the full report on the survey. Click here>>