If today’s housing market can be described as one where prices are through the roof and the supply of homes is in the basement, next year should see a modest leveling that brings a bit of relief to would-be buyers, according to real-estate data giant Zillow.
Its economists predict homebuyers will have more housing options and “a bit more affordability [and] breathing room—but only a bit” next year. There’s a few reasons why. First, higher for longer mortgage rates are becoming the norm. So some of the homeowners who locked in below-market mortgage rates during the pandemic, and have refused to sell in hopes that current rates would come down, might have to accept that that’s unlikely—and just list their homes.
