Don’t just take our word for it, officials from Freddie Mac are predicting more housing starts and the highest home prices since 2006.
The prediction is based on low mortgage rates, increased employment, and a gradual increase in housing supply.
Mortgage rates re predicted to remain below 4% for the first half of the year before a gradual increase. Unemployment dropped below 5% recently.
“In 2015, house prices increased about 6 percent on a year-over-year basis,” Freddie notes in its outlook. “Expect house prices to continue to rise, but at a moderating pace, with annual price appreciation slowing to 4.8 percent in 2016.” See more here: National Association of Realtors