In the monthly REALTORS® Confidence Index Survey, the National Association of REALTORS® asks members “In the neighborhood or area where you make most of your sales, what are your expectations for residential property prices over the next year?”
Among REALTORS® who responded to the May 2016 survey, the national median expected price change over the next 12 months was 3.3 percent (3.8 percent in April 2016; 3.6 percent in May 2015), according to the May 2016 REALTORS® Confidence Index Survey Report. On the one hand, REALTORS® expect housing price growth to moderate as rising prices have made homes less affordable for many. On the other hand, tight supply is leading to expectations of further price increases.
The map shows the median expected price change in the next 12 months for each state based on the March–May 2016 RCI surveys. The District of Columbia and the states of Washington, Oregon, and Colorado are the areas that are expected to have the highest price growth, with the median expected price growth at more than five to seven percent in each of these states. REALTOR® respondents from California, Nevada, Idaho, Minnesota, Michigan, Tennessee, South Carolina, and Florida also expected strong price growth, with the median expected price growth at more than four to five percent in each of these states.