The NAR (National Association of Realtors) Residential Real Estate Market Snapshot: buyer/seller behavior in 2024

Summary Generated with the help of AI.

Interest Rate Influence: The report emphasizes that interest rates play a critical role in shaping the residential real estate market. While recent rate cuts could ease mortgage pressures, it’s noted that the broader economic factors, such as inflation and job growth, will continue to influence rates.

Regional Variations: In the Midwest and other regions, housing markets are seeing more localized trends, with some areas benefiting from population migration away from expensive coastal cities. The report suggests that Midwest cities may experience steadier demand as affordability remains higher compared to coastal regions.

Inventory and Supply Challenges: Despite recent gains in homeownership rates and strong buyer demand, the report highlights ongoing supply challenges. Many regions, including parts of the Midwest, face inventory shortages, which could limit housing availability and drive up prices even as interest rates decline.

Home Price Trends: Nationally, home prices have continued to increase, though at a more moderate pace. The report indicates that price growth may slow as interest rate cuts gradually lower mortgage rates, but high demand and low inventory could keep prices elevated in many regions.

For the full report, you can visit the NAR website here​(National Association of REALTORS®).