A new survey of 105 economists and real estate industry experts is forecasting home prices to rise 3.1% in 2013.
The survey – which was conducted by Pulsenomics LLC between Nov. 30 and Dec. 12 and published by Zillow Inc. – finds increasing optimism on the near-term future of housing. The survey respondents said they expect home prices to increase in full-year 2012 by 4.6%, up from their more modest forecast of 2.3% in a previous survey released in September. Respondents also indicated they expect home prices to rise 3.1% in 2013, up from an expectation of 2.4% in September, and by more than 3% annually through 2017.
‘An organic recovery in the housing market really took hold in the latter half of 2012, and this improvement is echoed in some of the most optimistic price projections we've seen in years from this group,’ says Zillow Chief Economist Stan Humphries. ‘Record levels of affordability and an improving overall economic picture have really helped buoy the market and have us well-positioned for continued growth, albeit slightly slower, in 2013 and beyond.’