Menu
REALTORS® expect home prices to continue to appreciate over the next year, with a median price increase expected of 4 percent over the next 12 months, according to the latest REALTORS® Confidence Index, reflecting responses of more than 3,000 REALTORS® about their April transactions.
Slower sales due to tight credit conditions, declining affordability due to the recent price growth amid modest income gains, and fewer distressed sales likely account for the modest expectations,” economists note in the report.
Some states are slightly more optimistic about home price increases, such as in Florida, where low housing inventories and high demand are expected to boost prices. Price growth in Florida is expected in the range of 5 percent to 7 percent over the next 12 months. Real estate professionals in states including California, Oregon, Nevada, Texas, and Georgia are forecasting home prices to be greater than 5 percent to 6 percent in the next 12 months.
In most states, agents are predicting a 3 percent to 5 percent growth in home prices.
Source: REALTORS® Confidence Index Report and Market Outlook, April 2014 and “REALTORS® Price Expectations by State in Next 12 Months,” National Association of REALTORS® Economists’ Outlook blog (June 6, 2014)
