Even with an expected acceleration in economic growth, inflation should remain low, keeping housing near historic highs in 2004, according to the National Association of Realtors (NAR).
The NAR projects growth in the U.S. gross domestic product (GDP) to rise to an annual growth rate of 5.6 percent in the current quarter, with GDP for all 2003 increasing 2.8 percent before growing another 4.0 percent next year. Consumer price inflation should be 2.4 percent for this year and only 1.6 percent in 2004.