At the end of every year, experts and industry analysts release predictions for what they think the housing market will look like in the year ahead. These forecasts hope to accurately answer what will happen to things like home sales, prices, and mortgage rates over the next 12 months. And, according to at least one of them, the 2021 market should be hot. The forecast, released by a popular online real-estate portal, says there are a few factors that will combine to produce the busiest spring shopping season in years. One is buyer demand. In 2020, home sales are expected to be up 6 percent from the year before, and that’s with a weeks-long interruption during the height of the spring season. Next year should bring out even more buyers. Mortgage rates are expected to stay low, at least through the first half of the year. That will help counteract any price increases and keep affordability manageable. Buyer demand will also benefit from the coronavirus vaccine. With distribution expected to be well underway by spring, the vaccine should help reduce uncertainty and give prospective home shoppers more motivation to make a move. All in all, it looks like the 2021 housing market will be a busy – and competitive – one.
