RE 5 Yr Wealth Forecast
Real Estate 5 Yr Wealth Forecast
Full Video Transcript Below
5 Year Wealth Predictions
Alice Lema: [00:00:00] Well, hey, everybody. Welcome back to the podcast. This week we're going to be talking about some home price appreciation surveys that were published in KCM Keeping Current Matters, showing homeowner equity growth from. 2023 to 2028 and we have kind of a jaw dropping number, was super exciting.
And then we're going to drill down into Southern Oregon because just this week on the market statistics that I, that I do on YouTube, we have for the first time in a long time, all three counties showing a year to date growth. Some of it's big, some of it's not. But here we are at the end of this really hard year, hard financially a lot of uncertainty, a lot of tragedy in the world. And that all affects how people make decisions about buying and selling. And so I'm just so happy that we're starting to get a little bit of good news.
But I want to show you this chart that [00:01:00] was done by KCM and they were using the Home Price Expectation Survey data. You know how we love data. And so if you purchased a home in 2023 for 400, 000, which here, that's, you know, the, the new normal, we still do sell properties below that, but that's, you know, kind of an average. And then check it out going out to 2028. We're looking at an appreciation of 71, more than 71, 000. So a five year appreciation of 71, 000 is great.
Those are optimistic and sustainable growth. You know, when we had the COVID, when we had the fires, our prices spiked way up and that's not sustainable. What we want is a little bit every year and with homeownership, like with a lot of investments, it's cumulative. So if you get 2 or 3 percent one year, then you get 3%, the next year that adds on. So it grows [00:02:00] exponentially. And speaking of which, I do want to show this other chart, which shows the estimated home price performance from December to December, starting with 2023. And this is what we're talking about the predicting nationally. 3 percent for 2023, a little over two in 2024, and then going on out to 2027. And so those are the percentages of appreciation that are being forecasted.
And so that's healthy, that's sustainable. And it's also optimistic at a, at a time when we don't have a ton of good news. So as promised, I want to just point out that our local market, and this is year over year, and you can go to the market statistics video for this week. It'd be this week ending December 4th.
But Jackson County year over year had a 28 percent increase in prices. Josephine County also had a 28 [00:03:00] percent increase in price. And Klamath Falls had an 8 percent increase in price. And those are some of the trends that I look for and wait for, because when you have volatility, it's not only different every week, it's different county to county and everything's kind of all over the board, but we've watched it, try to solidify, I think in the last 90 days. And we have a really active market right now.
And it's the holidays. Usually Southern Oregon housing market is, you know, kind of slow around the holidays in the winter and it picks up again in the spring. But we didn't really have that, that big spring market. I think we're kind of having it now. And also, the buyers are just sick of waiting. You know, if we're not going to have a big crash, which there wasn't enough supply to support a crash.
And whatever you think of the employment numbers, if they're right, wrong or indifferent, people still have jobs. And that's usually where the housing market gets its strength is from wages. So here we go. And we do have a lot [00:04:00] more people putting their house on the market. And I think that's bringing us that upward spiral because when you have houses on the market, then people feel like it's okay to sell their house and buy another one, or it's okay to sell their house period. So again, don't want to make it sound better than it is. We don't want to be overly optimistic, but boy, it was a great week for the data. And so just had to share.
In the meantime, I'm around all weekend. I want to be your agent. My number is 541 301 7980. Give me a call. Give me a text. Let's talk about what we're going to do, the next step of your real estate life. And also just a reminder, this end of the year holiday time is great to rethink your life goals. It's great to rethink your will and your estates, especially if you bought or sold something this year. You want to get all that updated, and financial directives.
And just hit me up if you need some estate attorneys, we've got a bunch of great ones. [00:05:00] Okay. Well, that's it for this week. Hug those you love. We'll see you next time. Bye now.