The housing market is under pressure from high inflation and rising interest rates, which have driven up mortgage costs and strained affordability. Limited inventory and high demand persist, fueled by supply chain issues and labor shortages, keeping the resale and rental markets tight. Younger buyers face affordability challenges due to high home prices and slower wage growth, pushing many into renting. Political factors, such as policies around affordability and tax incentives, add uncertainty, while global economic shifts affect costs and market stability. Regionally, high-growth areas see price gains, while slower-growth areas may experience price moderation.