{"id":3347,"date":"2022-07-27T17:13:46","date_gmt":"2022-07-27T17:13:46","guid":{"rendered":"https:\/\/preprod.realtrends.com\/blog\/2022\/07\/27\/the-housing-market-might-recover-in-2023\/"},"modified":"2025-03-13T02:44:42","modified_gmt":"2025-03-13T02:44:42","slug":"the-housing-market-might-recover-in-2023","status":"publish","type":"post","link":"https:\/\/preprod.realtrends.com\/blog\/2022\/07\/27\/the-housing-market-might-recover-in-2023\/","title":{"rendered":"The housing market might recover… in 2023?"},"content":{"rendered":"\n

There’s no doubt about it \u2013\u00a0the housing market is slowing down. Pending home sales fell 8.6% in June from the prior month, according to data<\/a> released Wednesday by the\u00a0National Association of Realtors.<\/strong> And brokerages and agents alike are settling in for a few more tough months.<\/p>\n\n\n\n

The NAR’s index reading in June fell to 91.0 from 99.9 in May<\/a>. Year over year, the Pending Home Sales Index <\/strong>was down 20.0%, marking the 13th<\/sup> consecutive month of annual drops. An index of 100 is equal to the level of contract activity in 2001.<\/p>\n\n\n\n

\u201cContract signings to buy a home will keep tumbling down as long as mortgage rates<\/a> keep climbing, as has happened this year to date,\u201d Lawrence Yun, NAR\u2019s chief economist, said in a statement. \u201cThere are indications that mortgage rates may be topping or very close to a cyclical high in July. If so, pending contracts should also begin to stabilize.\u201d<\/p>\n\n\n\n

According to NAR, buying a home in June 2022 was roughly 80% more expensive than in June 2019. As a result, the trade organization said that nearly 25% of buyers who purchased a home three years ago would be unable to do so today, as they no longer earn the qualifying income to buy a median-priced home.<\/p>\n\n\n\n

But Yun maintains a positive outlook for the housing market in early 2023: \u201cHome sales will be down by 13% in 2022, according to our latest projection. With mortgage rates expected to stabilize near 6% and steady job creation, home sales should start to rise by early 2023.\u201d<\/p>\n\n\n\n

All four major U.S. regions recorded year-over-year decreases in contract signings. The Western region saw the largest drop at 30.9% to a reading of 68.7, followed by the South with a drop of 19.2% to 108.5, the Northeast with a drop of 17.6% to 80.9, and the Midwest with a decrease of 13.4% to 93.7.<\/p>\n","protected":false},"excerpt":{"rendered":"

There’s no doubt about it \u2013\u00a0the housing market is slowing down. Pending home sales fell 8.6% in June from the prior month, according to data released Wednesday by the\u00a0NAR.<\/p>\n","protected":false},"author":34740,"featured_media":4822,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[3255],"tags":[],"coauthors":[1760],"class_list":["post-3347","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-archive"],"acf":[],"yoast_head":"\nThe housing market might recover... in 2023? - RealTrends - Blog<\/title>\n<meta name=\"description\" content=\"There's no doubt about it \u2013\u00a0the housing market is slowing down. 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