Existing home sales nationwide will fall 1.8% next year, and prices will rise a modest 0.8% across the country in 2020, according to an annual forecast from Realtor.com.
The forecast expects prices in the D.C. region to continue rising in 2020, but it sees prices falling in 25 of the nation’s 100 largest metro areas. It also expects D.C.-area sales to fall next year.
The forecast sees inventory across the country, or the number of homes for sale, to potentially fall to a historic low. But the analysis also sees mortgage rates rising only modestly, with the average rate on a 30-year fixed mortgage staying below 4% throughout 2020 and ending the year at 3.88%.
Realtor.com said it expects home sales in the D.C. region to fall 1.5% in 2020 from this year’s level, but prices here will rise as much as 2.6% next year.
While prices may continue rising in this area, some of the nation’s largest markets will see a reversal in prices, including San Francisco and Las Vegas, two cities that have led price gains in recent years.
The 2020 forecast does have outliers from the national expectations. It says prices in Atlanta will rise 4.5% next year, and 6.3% in Colorado Springs, while falling 4% in Kansas City, the largest forecast decline.
Realtor.com’s entire 2020 housing market forecast and economic commentary is online.
