Home buying should increase in 2024
With interest rates projected to come down in 2024, home buying is expected to heat up.
But some housing markets will see more action than others. A report from Realtor.com forecasts home price and sales growth for the year for the 100 largest U.S. metro areas.
If you’re looking to purchase or sell a property, see what you can anticipate in your market for 2024.
Check your home buying options. Start hereHigh growth housing markets for 2024
For home buyers and sellers alike, having a general feel for your local real estate can help you know what to expect in terms of pricing, competition and timing.
The hottest housing markets of 2024 will offer some combination of relative affordability, strong economic conditions, and/or rebound potential from 2023’s soft activity. Overall, the 100 largest metro areas project an average annual growth of 1.2% in median home price compared to a 1.7% decline for the national average. However, sales are expected to fall 2.2% versus a 0.1% rise nationwide.
“Now that we’re seeing the beginning of an affordability turnaround, home buyers are still looking for markets where they can capitalize on lower prices,” said Danielle Hale, chief economist at Realtor.com. “Even in some of the more expensive markets, we’ll see double-digit sales growth as sales start to rebound from their historic lows, helped by mortgage rates which are expected to finally relent.”
Below are the top 10 housing markets for 2024 by combined home sales and median price growth, forecasted by Realtor.com. For reference, the median home price reached $420,000 in November 2023:
10. Los Angeles, California
Forecasted 2024 combined sales and price change: 12.7%
Forecasted 2024 home sales change: 9.2%
Forecasted 2024 home price change: 3.5%
November 2023 median home price: $1,150,000
9. Grand Rapids, Michigan
Forecasted 2024 combined sales and price change: +13.3%
Forecasted 2024 home sales change: +6.1%
Forecasted 2024 home price change: +7.2%
November 2023 median home price: $390,000
8. Worcester, Massachusetts
Forecasted 2024 combined sales and price change: +13.9%
Forecasted 2024 home sales change: +9.1%
Forecasted 2024 home price change: +4.8%
November 2023 median home price: $475,000
7. Springfield, Massachusetts
Forecasted 2024 combined sales and price change: +14.7%
Forecasted 2024 home sales change: +10.5%
Forecasted 2024 home price change: +4.2%
November 2023 median home price: $350,000
6. Bakersfield, California
Forecasted 2024 combined sales and price change: +15.7%
Forecasted 2024 home sales change: +13.4%
Forecasted 2024 home price change: +2.3%
November 2023 median home price: $385,000
5. Riverside, California
Forecasted 2024 combined sales and price change: +15.8%
Forecasted 2024 home sales change: +13.8%
Forecasted 2024 home price change: +2.0%
November 2023 median home price: $585,000
4. San Diego, California
Forecasted 2024 combined sales and price change: +16.3%
Forecasted 2024 home sales change: +11.0%
Forecasted 2024 home price change: +5.4%
November 2023 median home price: $995,000
3. Rochester, New York
Forecasted 2024 combined sales and price change: +16.6%
Forecasted 2024 home sales change: +6.2%
Forecasted 2024 home price change: +10.4%
November 2023 median home price: $239,000
2. Oxnard, California
Forecasted 2024 combined sales and price change: +21.3%
Forecasted 2024 home sales change: +18.0%
Forecasted 2024 home price change: +3.3%
November 2023 median home price: $1,037,000
1. Toledo, Ohio
Forecasted 2024 combined sales and price change: +22.3%
Forecasted 2024 home sales change: +14.0%
Forecasted 2024 home price change: +8.3%
November 2023 median home price: $200,000
2024’s cold housing markets
Conversely, not every market currently boasts the traits to make it poised for spiking sales and values in 2024.
While growth could stagnate and even recede in these places, they could offer home buyers a chance at lower competition and the opportunity to get a comparatively better deal. Many of these locales were privy to job expansion and high growth rates over the last few years.
Among the 100 largest metro areas, the table below shows the biggest drops in combined home sales and median price changes, forecasted by Realtor.com:
| Rank | Metro area | Combined sales and price change | Forecasted 2024 home sales change | Forecasted 2024 home price change | November 2023 median home price |
| 100 | Portland, Ore. | -33.0% | -25.6% | -7.4% | $603,725 |
| 99 | Baton Rouge, La. | -25.9% | -20.4% | -5.6% | $299,990 |
| 98 | Austin, Texas | -23.9% | -11.7% | -12.2% | $549,495 |
| 97 | Charlotte, N.C. | -23.3% | -22.4% | -0.9% | $414,945 |
| 96 | Dallas, Texas | -21.4% | -12.9% | -8.4% | $445,000 |
| 95 | Denver, Colo. | -20.4% | -15.3% | -5.1% | $625,000 |
| 94 | San Antonio, Texas | -19.5% | -10.1% | -9.4% | $339,900 |
| 93 | Ogden, Utah | -18.9% | -15.1% | -3.8% | $549,900 |
| 92 | Nashville, Tenn. | -16.2% | -11.4% | -4.8% | $562,500 |
| 91 | Atlanta, Ga. | -15.4% | -15.8% | 0.4% | $419,995 |
The bottom line
The housing market is primed to ramp up again in 2024 as mortgage rates are anticipated to decrease.
While this likely means amplified home buyer competition overall, some places show the conditions for prices and sales to fall. Regardless of the affordability level of where you want to buy, you can and should always shop around before locking in an interest rate and negotiate with the seller.
If you’re ready to start your journey to homeownership, talk to a local lender today.
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