Home prices are poised to jump another 5% this year as the market is even tighter than it was in 2023, economist says

• Home prices could see another 5% surge in 2024, Capital Economics predicted.
• The research firm pointed to home inventory levels, which are still near historic lows.
• Low inventory has helped push home prices higher over the last year as demand remains hot.

Home prices could continue to climb this year, as the housing market isn't nearly as loose as prospective homebuyers may think, according to Capital Economics.