Modest home-price growth in the nation’s largest 100 housing markets will continue throughout 2020, according to Veros Real Estate Solutions.
Data from the latest VeroFORECAST projected that the appreciation rate for residential real estate would jump 3.9% in 2020, slightly up from the 3.7% rate predicted in the first three quarters of 2019.
“VeroFORECAST reveals an average increase of 3.9% by the fourth quarter of 2020,” said Eric Fox, Veros vice president of statistical and economic modeling. “The sound fundamentals of the economy, low interest rates and strong levels of employment should result in moderate home-price appreciation with very few geographic pockets of weakness.”
The 10 markets forecasted to see the most increase between Q4 2019 and Q4 2020 are located in the Pacific Northeast (Washington, Oregon, and Idaho), the West (Arizona and Utah), and one in Georgia. With very low housing supply, home prices rise faster in the strongest markets.
The markets with home-price drops are almost non-existent compared to previous quarters. The VeroFORECAST anticipates that home prices in Monroe, La., will decline. Metros in Connecticut, Illinois, California, and Alabama rounded out the 10 least-performing markets.