Home prices could jump 5% in the next 12 months as high mortgage rates freeze the housing market, Zillow economists say

• Home prices could climb even higher over the next year, Zillow economists said. 
• The real estate listing company predicted a 5% home price increase, lower that 6.5% is previously predicted. 
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Home prices could jump as much as 5% over the next year, thanks to higher mortgage rates prolonging the deep freeze of the US housing market, according to Zillow economists.

The real estate listings site revised its 12-month outlook for home prices, predicting a 4.9% increase by August 2024. That's slightly down from its 12-month home price outlook in July, when the firm predicted a 6.5% increase in home prices by July of next year.