MIDWEST may take center stage in the real estate market in 2023 according to:?
The “Zoom towns” — cities that attracted many pandemic buyers who had shifted to
remote work and were looking for more affordable housing — are the metros most likely
to see home prices fall significantly, a trend that has already started this year. However,
there will be markets, particularly in the South and Midwest, that remain very much in
demand and could see home prices increasing throughout the year.?
Having available houses to choose from is another key component of a healthy market,
and the Midwest stands out – inventory isn’t in a massive hole compared to pre-pandemic
times, and declines in new listings are smaller than the national average, encouraged by
the more consistent demand from buyers.?
The Midwest could be 2023's hottest housing market because it's affordable, one Zillow
economist said. Buyers who are expecting a big equity gain within a few years may be
disappointed, but those who simply want to own a home and are ready and willing will
find that they have options across the midwestern US.?
Data from Redfin suggests that many homebuyers are already starting to look for a more
affordable market to buy in. More than 24% of homebuyers were looking to buy in a metro
area outside of where they lived during the third quarter of 2022, up from 19% during Q3
Zillow economists predict that consumers will have to continue shifting along with the
market as housing costs remain high and that new markets — such as the affordable
Midwest — will emerge as new hotspots as Americans seek to make their dollars go
further. And more Americans will become first-time landlords as the demand for rentals
grows stronger than the demand for mortgages in some markets.?