Housing prices are poised to rise again. According to Capital Economics, lower interest rates have driven an uptick in mortgage applications and property sales in recent months. The resurgence in demand could result in prices increasing in 2023.

Active listings remain near all time lows. There is a stark difference between the 970,000 active listings today and the 4,000,000 active listings that saturated the market in 2007. This difference highlights the health of the housing market relative to the GFC.

Despite recent interest rate policy actions by the Federal Reserve, the US labor market has remained resilient, and a strong labor force supports the housing sector. The Bureau of Labor Statistics tracks the share of the labor force being laid off. In a typical month, approximately 1.5% of the nonfarm private labor force is laid off or discharged from their job. If this number approaches 2% or above, it would be considered an employer’s market. If this number approaches 1%, it represents a tight labor market. In the past 12 months, there has only been one month where more than 1% of the private labor force was laid off.

Realtor.com, National Association of Realtors, and Corelogic project solid home price appreciation in 2023.

Median price of listed homes increased last week - The market is showing signs of a rebound after months of uncertainty. Also, the number of homes listed with price reductions is decreasing as more buyers return to the market.

How the reverse mortgage industry fails seniors - This analysis highlights the lack of transparency in the reverse mortgage market.

Affordability improves, as do hopes for a good spring - The recent decrease in interest rates has improved affordability conditions and brought buyers back to the table.

Household growth has big implications for housing demand - This article takes a close look at how recent trends in household formation could continue to impact housing demand.

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