2023 Key Trends to Watch

2023 Key Trends to Watch

National Market Dynamics // Sales, Prices, Rates, Rents & Inventory



The rapid market slowdown of the past six months is predicted to largely level off in 2023

    • 62% said they predict there to be somewhat or much fewer home sales in 2023 compared to 2022. But 68.3% said they predict annual U.S. home price growth to decline only modestly or stay about the same as in 2022.

    • 71.5% said they predict inventory to stay at current levels or increase somewhat. 75.8% said they expect the same of national rent levels.

    • 61.6% said they predict average rates to end 2023 between 5% and 6%, down from 2022 highs exceeding 7%.



Market Demographics // Buyers vs Sellers & First-Timers vs Repeat Buyers



The market’s balance of power is predicted to shift towards buyers for the first time in years, but first-time buyers are likely to continue to struggle


    • 86.6% said they predict a balanced national housing market or one tilted in buyers’ favor in 2023.

    • 74.6% said they predict the share of first-time buyers – which fell to a record low in 2022 – to stay at low levels or decline further.

    • 80.8% said they predict the share of buyers aged 55-74 – which hit a record high in 2022 – to stay the same or rise next year.



Where & How We Live // Urban vs Suburban Living



Urban living, condos and shared amenities will all be more popular in 2023


    • A majority of agents agree – As affordability challenges continue, the pandemic fades, cities regain their luster and more companies begin to require employees to return to the office more regularly, condos will experience a resurgence in popularity in 2023.

    • The number of respondents that said urban living would grow in popularity was 44.1% higher than the number that said it would fade.

    • The number of respondents saying shared community amenities – community centers, pools, tennis/pickleball courts, etc. – would grow in popularity was more than triple the number that said those amenities would fade in popularity.

    • 49.1% more respondents said large yards would fade in popularity than said they would be more popular.


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