Are you thinking about buying a home? If so, you’re probably wondering: Does it make sense to buy a home right now or should I wait? Nobody can make that decision for you, but here’s some information that can help you decide.
What’s Next for Home Prices?
Each quarter, Fannie Mae and Pulsenomics publish the results of the Home Price Expectations Survey (HPES). It asks more than 100 experts—economists, real estate professionals, and investment and market strategists—what they think will happen with home prices.
In the latest survey, those experts say home prices are going to keep going up for the next five years (see graph below):
Here’s what all the green on this chart should tell you. The industry experts are not expecting any price declines. Instead, they are predicting that we’ll see a 3-4% rise each year.
And even though home prices aren’t expected to climb by as much in 2025 as they are in 2024, keep in mind these increases can significantly add up over time. It works like this: If these experts are correct and your home’s value goes up by 3.78% this year, it’s set to grow another 3.36% next year. And another 3.87% the year after that.
What Does This Mean for You?
Knowing that home values are forecasted to keep rising should make you feel good about buying a home. That’s because it means your home is an asset that is projected to grow in value in the years ahead. In other words, homeownership is still the key factor in building generational wealth.
If you’re not convinced yet that it makes sense to buy a home right now, maybe these numbers will get your attention. They show how a typical home’s value could change over the next few years using expert projections from the HPES. Check out the graph below:
In this example, imagine you bought a home for $400,000 at the start of this year. Based on these projections, you could end up gaining over $83,000 in household wealth over the next five years as your home grows in value.
Of course, you could also wait – but if you do, buying a home is just going to end up costing you more later.
Bottom Line
So, if you’re thinking it makes sense to buy a home right now and you’re ready and able to do so, buying now could make your homeownership dream come true. Your home is expected to keep getting more valuable as prices go up. And Bay Shores Living will stand with you through every step along the road to making your homeownership dream come true. Let’s team up to start looking for your next home today.
