Zillow predicts 3.5 percent housing market growth in 2016

After a year of recovery in 2015, Zillow’s experts say 2016 will be all about housing affordability, with a lack of affordable homes near city centers pushing young and first-time buyers out to the suburbs.

Experts also predict the median age of first-time homebuyers will continue to drop and that more low-income Americans will be priced out of homeownership. More than 100 experts surveyed said home value growth would be about 3.5 percent this year.

Zillow expects the hottest housing markets to be Denver, with a 5 percent year-over-year rise, Seattle, with a 5.4 percent rise and Dallas-Fort Worth, with a 5.6 percent rise. Experts also looked at unemployment rates.

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