Based on various sources, the New York housing market in 2024 and 2025 is expected to experience a mix of stability and modest changes.
Home values are predicted to remain relatively stable, with only a minor fall of about 0.2% in 2024.
This stability, along with wage growth and less volatile mortgage rates, could benefit buyers, especially those finding affordability challenging.
The inventory of existing homes for sale is anticipated to drop by 14% in 2024 compared to the previous year, influenced by high mortgage rates.
Inflation is forecasted to be around 2.5% for 2024, with a decrease to 2.2% in 2025, which is closer to the Federal Reserve's target of 2%. There are, however, varying opinions, with some expecting inflation to average lower, around 1.8% from 2024 to 2027.
Home prices might see a decrease of 1% year-over-year during the second and third quarters of 2024, which would be the first notable decline since 2012, barring a brief period in the first half of 2023.
Over a longer-term horizon, there is an expectation of a price increase, with the median price of an average home in New York predicted to rise to 821,710 USD by 2029.
These predictions are influenced by broader economic factors, such as Federal Reserve interest rates, inflation, and other macroeconomic indicators, as well as market-specific dynamics like housing demand and supply.
However, unexpected global events, like wars or shifts in economic policy, can significantly impact these forecasts.