The 2024 real estate market is shaped by rising single-family home prices, suburban migration, technological advances, and diverse living arrangements amid supply shortages and fluctuating mortgage rates.

The real estate industry in 2024 is being influenced by several transformative trends. An ongoing move from urban centres to suburban areas underpins much of the market activity. Rising costs for single-family homes due to persistent demand and limited supply have amplified home equity growth for existing homeowners, though first-time buyers are increasingly priced out. While a cooling trend in home prices is emerging, longer-term increases are anticipated. Sun Belt states remain a magnet for population growth, attracting retirees, professionals and families due to affordability and space. Major cities like New York and San Francisco, however, are experiencing fluctuating demand, with some homeowners even selling at a loss. Digitisation is also reshaping the sector, enabling virtual tours, 3D staging and online mortgage processes, making home buying more accessible and efficient. Technology-driven platforms such as Huspy are gaining traction. Millennials, heavily rooted in online research, are turning to tools like Nextdoor to deepen community connections before making housing decisions. The shift towards suburban living continues, driven by remote working opportunities, affordability, and lifestyle preferences, fostering demand for "middle neighbourhoods" that balance suburban and urban living. Yet, this demand has further strained the supply of single-family homes, with a deficit of over seven million in the past decade. Millennials entering homeownership exacerbate pressures on inventory. A concurrent trend sees an uptick in multi-generational households, spurred by economic factors, societal changes, and care needs, with such arrangements particularly common in Black and Hispanic communities. Mortgage rates, historically low in 2021, have hovered near 7% through 2024, affecting affordability and monthly payments for many buyers. Despite slight declines in rental price growth, rental demand remains weak in large cities but is climbing in mid-sized and smaller cities. Investors eye opportunities to convert commercial spaces into apartments as vacancies in urban rental markets rise. Meanwhile, office spaces face historically high vacancy rates, although retail and multi-family commercial properties show promise. These trends highlight evolving preferences and opportunities as the real estate market adapts to demographic shifts, remote work, affordability concerns, and technological advancements.