Inventory is just too tight. Homebuilders haven’t built many new houses and many existing homeowners don’t want to sell and trade their low mortgage rates for higher ones.

Nor are homeowners being forced to sell as they were in 2008. Just 1% of realtors said they were working with distressed sellers, according to a recent survey by the National Association of Realtors. That compares with 49% of realtors who were doing so in 2009.

There are also now more young middle-aged adults (“elder Millennials”) eager to buy. That will help to keep home prices propped up, says Len Kiefer, Freddie Mac’s deputy chief economist. That’s another key difference with the early aughts, when there just weren’t as many homebuying Gen X’ers, the smallest generation.

https://www.advisorperspectives.com/articles/2022/12/13/waiting-for-home-prices-to-drop-bad-strategy