A Housing Downturn in 2023 Followed by a Recovery in 2024
Though the housing recession will trickle into 2023, the second half of 2023 may lead to a turning point for housing and economy.
According to the National Association of Home Builders, “with interest rates projected to normalize in the second half of 2023 as the Federal Reserve taps the brakes in its fight against inflation, the pace of single-family construction will bottom out in the first half of 2023 and begin to improve in the latter part of the year,” said Robert Dietz, chief economist of the National Association of Home Builders (NAHB), during a housing and economic outlook press briefing at the 2023 International Builders’ Show. “This forward momentum will lead to a calendar year gain for single-family starts in 2024.”
