What Experts Are Saying About The Rest Of 2020

One of the biggest questions on everyone’s minds these days is: What’s going to happen to the housing market in the second half of the year? Based on recent data on the economy, unemployment, real estate, and more, many economists are revising their forecasts for the remainder of 2020 – and the outlook is extremely encouraging. Here’s a look at what some experts have to say about key areas that will power the industry and the economy forward this year. 

The housing market is recovering much faster than predicted. Originally the forecasters predicted that we would see a drop in the 3rd quarter, however that is no longer the case. Before forecasters felt we would see a 2% decrease in purchase originations in 2020 but now they're predicting a 2% growth this year. 

Home prices are expected to rise in the coming months as the economy begins to reopen. We may even see home prices surpass what they were a year ago in the second half of this year. Over the next few months we anticipate to see a steady increase of new inventory. Mortgage rates are expected to remain low with a 30-year-fixed-rate mortgage at an average of 3.4% in 2020, and 3.2% in 2021 suggest Freddie Mac. 

We expect new construction to be leading the way. The use of single-family permits jumped by 11.9% nationwide and authorized single family units increased by 5.4%, which is the largest jump since 2008.

Overall, we feel very optimistic about the second half of the year for real estate. If you paused your 2020 real estate plans because of the pandemic, we are are happy to assist you to determine if now is the best time for your family.