2024 Housing Market Forecast: A Turnaround in Affordability for Seattle and the Eastside
As Seattle and Eastside real estate brokers with decades of experience, we closely monitor market trends to provide our clients with the most up-to-date information. The 2024 housing market forecast, drawing on data from Realtor.com and other reputable sources, presents a mix of continuity and change, offering insights for both homebuyers and sellers in our area.
Key Findings From the 2024 Housing Market Forecast
Easing Mortgage Rates: According to Realtor.com's 2024 forecast, mortgage rates are beginning to retreat from their highs, with the average rate expected to be 6.8% and year-end rates around 6.5%.
Home Price Trends: The median price appreciation for existing homes is forecasted to be down 1.7%, indicating a slight decline in prices. This is a significant shift from the 10.3% growth in 2022 and the modest 0.2% increase in 2023.
Stable Home Sales: Nationally, existing home sales are expected to show a marginal increase of 0.1%, stabilizing at around 4.07 million. This follows a significant 19% drop in 2023 from 2022 levels.
Inventory Challenges: The inventory of existing homes for sale is projected to decrease by 14%, continuing a trend of dwindling availability.
Rent Growth Slowdown: Rental growth is expected to see a slight decline of 0.2%, contrasting with the steep 10.8% increase seen previously.
What This Means for Seattle and the Eastside
For Homebuyers
Improved Affordability: The softening of home prices and easing mortgage rates in 2024 make it a potentially more affordable year for homebuyers in Seattle and the Eastside.
Challenges Remain: Despite these positive signs, the typical household will still spend a significant portion of income on mortgage payments, emphasizing the need for careful financial planning.
For Home Sellers
Competitive Market: With new construction and fewer existing homes for sale, sellers may face increased competition. Proper pricing and marketing strategies will be crucial.
For Renters
Stable Rental Market: Renters might find more stability in rental prices, making it an attractive option for those not yet ready to buy.
Local Market Predictions for Seattle-Tacoma-Bellevue, WA
Sales Growth: An expected growth of 3.9% year-over-year.
Price Growth: Prices are predicted to decrease slightly by 1%.
Preparing for 2024
Buyers
Financial Readiness: Utilize tools like home affordability calculators and consult with lenders to understand your buying power and mortgage options. We would be happy to introduce you to our preferred lender.
Market Research: Stay informed about local market trends and housing inventory.
Sellers
Understanding Competition: We can help you assess the new construction landscape and price your property competitively.
Effective Marketing: Partner with experienced real estate brokers like us who understand the local market dynamics.
Renters
Evaluate Options: Use tools like Rent vs. Buy Calculators to determine long-term financial impacts and make informed decisions.
Conclusion
As we move into 2024, the Seattle and Eastside housing markets show signs of a turnaround in affordability. This shift presents new opportunities and challenges for buyers, sellers, and renters alike. Staying informed and preparing financially will be key to navigating this evolving landscape. For personalized advice and insights into the local real estate market, connect with us today.
Sources:
Realtor.com 2024 Housing Market Forecast
National Association of Realtors
Local Real Estate Market Reports