by Mike Tubbs, Quantitative Portfolio Analyst, with Lauren Rosales-Shepard, Content Writer
The housing market displays a sharp upward correction from the downturn that began in 2022 Q3. Home prices have thus far outperformed many forecasts and professionals' expectations, and are looking to bounce back to historical norms. Short-run forecasts are therefore optimistic; there are strong signals that home prices already reached their lowest value, post-pandemic, and are on the rise. Housing market efficiency has improved drastically since 2008, and that has pumped the brakes on price declines. Although the current supply deficit is continually increasing despite a growing house-buying population, this mismatch in the U.S. housing market will elevate HPA in the long run.
To read our more in-depth analysis and see the data, access the full report.