What to Expect in the Housing Market in the Second Half of the Year

Homebuyers may not see much improvement in market conditions in the second half of 2024, as economists predict a 4% rise in home prices and mortgage rates around 6.5%. Limited housing supply is expected to keep prices high, with existing home sales possibly dropping to their lowest levels since the early 1990s. The "lock-in effect" may persist, with homeowners reluctant to move due to favorable mortgage rates. Construction on multifamily units is likely to decrease, while high demand for housing could be offset by economic challenges.

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