What’s Next for Home Prices? The Forecast Through 2029

No, the Market Isn’t Crashing — Here’s What’s Actually Happening with Home Prices

Lately, headlines have been throwing around the idea of a housing market crash. But let’s clear this up — the data doesn’t support that narrative. If anything, we’re shifting back to a healthier, more stable market pace.

Yes, some markets are seeing prices level out or dip slightly as inventory builds. But zoom out, and the story looks very different.

According to the latest Home Price Expectations Survey by Fannie Mae, more than 100 top housing economists and market experts forecast steady appreciation over the next five years — just at a more reasonable pace than we saw during the peak of the pandemic market.

Here’s What the Experts Say:

• The average forecast calls for 3.3% annual price growth through 2029.

• The optimists project prices will rise closer to 5.0% per year.

• Even the most conservative experts see growth of around 1.3% per year.

Not one group is calling for a crash. Not one.

Why? Because the fundamentals today are nothing like 2008:

• Lending standards remain strong

• Foreclosure rates are low

• Homeowners have record equity

• Housing inventory, while growing, is still below balanced-market levels in many areas

Moderation Is a Good Thing

Remember the extreme bidding wars, sight-unseen offers, and runaway price growth of 2021 and 2022? That kind of chaos wasn’t sustainable.

This market shift isn’t doom — it’s a reset. It’s giving buyers and sellers more room to negotiate, more choices, and more predictable appreciation that builds lasting equity over time.

Bottom Line

If you’re sitting on the sidelines waiting for a crash, the data says you may be waiting a long time. Experts across the board agree — home prices are expected to keep rising, just not at the breakneck speed we’ve seen before.

National trends give us the big picture, but if you’re curious what this means for your neighborhood or your future plans, let’s talk. I’ll walk you through what’s happening locally so you can make a confident decision, grounded in real data.