Your KC Home Is a Powerful Investment

At the beginning of 2023, a significant number of headlines forecasted a potential recession that would cause the Kansas City housing market to crash. A few media sources even predicted KC home prices would drop by as much as 10-20%, which, understandably, made many Kansas City homebuyers uncertain about moving forward.

What actually happened last year? National home prices increased more than usual. Brian D. Luke, Head of Commodities at S&P Dow Jones Indices, explains:

"Looking back at the year, 2023 appears to have exceeded average annual home price gains over the past 35 years."

Let's put last year's home price growth into context. The graph below uses data from Freddie Mac on how national home prices have changed annually since 1980. The long-term average for appreciation is shown by the dotted line:

 

The big takeaway? Home prices almost always go up.

As an article from Forbes says:

". . . the U.S. real estate market has a long and reliable history of increasing in value over time."

Since 1980, the only time home prices fell was during the housing market crash (shown in red in the graph above). KC buyers can breathe easier—the current Kansas City housing market isn't like it was in 2008. Buyer demand isn't being met due to the limited supply of available homes. On top of that, KC homeowners have a significant amount of equity, putting them on more secure footing than compared to the housing crash. This increase in home equity means there won't be a wave of foreclosures causing prices to fall.

Owning your Kansas City home can be one of the smartest real estate moves. Why? As a homeowner, you own something that becomes more valuable over time. As your home's value appreciates, your net worth grows, as shown by the fact that home values went up every single year except those four in red.

Are you financially stable and prepared for the costs and expenses of homeownership? It might be time to consider buying a home in the Kansas City area.

Bottom Line

Kansas City home prices almost always increase over time, making homeownership a wise investment. Are you ready to take the leap and purchase a home in the Kansas City area? The Just Say Home real estate team will offer their expertise and work with you to make your homebuying process smooth and successful.

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