Housing Market Outlook: What the Second Half of the Year Means for Buyers and Sellers

According to Keeping Current Matters, leading housing experts are releasing fresh insights on what to expect from the real estate market in the second half of the year—and the outlook is more positive than many expected. With projections pointing toward lower mortgage rates, increasing inventory, and a more moderate pace of home price growth, the rest of the year may offer some long-awaited opportunities for both buyers and sellers.

Here’s a breakdown of what the experts are forecasting:

1. Mortgage Rates May Ease Slightly

While a dramatic drop in mortgage rates isn’t expected, many economists predict a modest decline as the broader economic picture becomes clearer. Even a small dip in rates can make a noticeable difference in monthly payments, potentially improving affordability and giving buyers a little more room in their budgets.

That said, mortgage rates remain sensitive to shifts in inflation, employment data, and overall economic conditions. Some fluctuations are still likely, so flexibility and preparation will be key.

2. Inventory Is Growing—and That’s Great News

One of the biggest shifts happening right now is the increase in homes available for sale. After months—or even years—of low inventory, more homeowners are deciding now is the time to list. Whether it's due to life changes, market fatigue, or confidence in the evolving landscape, this growing inventory is helping to balance supply and demand.

If mortgage rates continue to ease, even more sellers may enter the market, creating additional opportunities and a wider selection of homes for buyers to explore.

3. Home Price Growth Is Moderating

While home prices are still expected to rise, the pace of that growth is slowing as more inventory becomes available. On average, expert forecasts predict about a 2% increase in home values by year’s end—much more manageable than the rapid appreciation seen in previous years.

This slower price growth, combined with the potential for lower mortgage rates, could enhance buying power and make homeownership more attainable for many.

It’s important to remember that these are national trends, and real estate is deeply local. Some areas may see prices continue to climb, while others may experience more stability or even slight declines, depending on local supply and demand dynamics.

The Takeaway

The second half of the year is shaping up to be more favorable for both buyers and sellers. With improving affordability, rising inventory, and more balanced price growth, this could be a smart time to make your move—especially with guidance from someone who understands your local market inside and out.

If you're considering buying or selling this year, staying informed and having a strategy in place will help you take advantage of these evolving market conditions.


source: www.keepingcurrentmatters.com