I think we can all agree that the past couple of years post-pandemic, the housing market has been pretty volatile especially when it comes to pricing. So, in today’s housing market, are we starting to see a pricing correction and if so, are we headed for a crash?
Hi, I am Terry Tucker with eXp Realty and I’ve been selling homes here in the San Ramon Valley and beyond for the past 26 years.
First, let’s define what we mean by a housing market correction. Simply put, a market correction occurs when there is a decline in the price of real estate after a period of rising prices. Unlike a crash, which involves a dramatic drop, a correction is usually more moderate and often around a 5-10% and property value is dropping. But with today’s headlines about home prices, it is tough to know what exactly is going on, especially if you are a buyer or a seller, so it is best to see what the experts are saying.
Most experts today are saying the housing market is heading for a correction and not a crash. In fact, they can’t even agree on that as NAR says a small gain in home prices in 2025 and Zillow says a small drop. But overall they are forecasting moderate home price growth over the next five years and not a rapid increase. This is great news for buyers who felt priced out of the market and also for sellers to know they still have a little bit of price appreciation. This normal type of market gives everyone a chance to look and find the right house and not feel rushed.
A housing market correction is a normal part of the real estate cycle and not necessarily a bad thing as it can help prevent bubbles and make homeownership a reality. As a buyer, seller or an investor it is important to be well-informed of any market changes. Staying focused on location, long-term investment and price is key! And with any changes, it is always best to align yourself with an experienced agent who can provide you with the latest data and trends.
If you would like more information on the housing market, please reach out to me today. I’m Terry Tucker with eXp Realty and I am a seasoned East Bay expert with 5-star ratings and I am ready to help you get started TODAY!
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