U.S. Housing Market Recovery Forecasted to look more like a “W”

According to an updated 2020 forecast from real estate listing website, realtor.com, the rebound in the U.S. housing market will neither look like a “V” or a “U” but rather more like a “W”. realtor.com Chief Economist Danielle Hale said, “As cities and states begin the slow process of reopening, we’re going to see a see-saw recovery with ups and downs that will favor the nation’s secondary markets in the short-term.” The company’s economics team, is forecasting national home sales will improve in July, August and September, largely driven by demand from millennial shoppers and transactions in secondary markets before they decrease again due to a projected winter spike in coronavirus infections. The team is also predicting that despite extremely tight inventory, an issue that has plagued the housing market for months, home prices would increase only modestly by 1.1% year-over-year.