Kevin Sears President | Official website
Lawrence Yun, Chief Economist for the National Association of Realtors®, shared insights on the real estate market during the "Residential Economic Issues & Trends Forum" at NAR's 2024 REALTORS® Legislative Meetings. He predicts a rise in existing-home sales and falling long-term interest rates. Yun anticipates an increase in existing-home sales to 4.46 million in 2024 and 5.05 million in 2025, with continued growth over the next decade.
Yun highlighted the impact of job growth on home sales and emphasized the importance of a strong economy for a robust housing market. He discussed the wealth disparity between homeowners and renters, noting the significant difference in median net worth. Despite higher mortgage rates, Yun encouraged homeownership as a wealth-building strategy.
Addressing current challenges in the housing market, Yun pointed out the impact of high mortgage rates and limited inventory on home sales. He stressed the need for policy advocacy to address housing supply issues. Yun also discussed the role of the Federal Reserve in managing interest rates and its implications for the real estate market.
According to NAR data, the majority of homebuyers rely on real estate agents, with a high satisfaction rate. Yun raised concerns about government deficits and their potential impact on rising rates. He suggested real estate as a hedge against inflation, given the current economic landscape.
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