The Grand Rapids Business Journal published this article recently. They are forecasting a 27% increase in home values over the next three years. That is quite a lofty goal, since home prices have already increased by about 13% over the last year and a half. The double digit appreciation reflects the market correcting itself as the foreclosures and short sales that were dominating inventory dry up. My prediction is that prices will continue to increase, but eventually we will hit a plateau of normal growth, maybe 3% per year. However, the one factor that could keep home prices going up at higher rates is the growth of our city. Grand Rapids has been receiving a lot of attention over the last two years and is making top 10 lists left and right. 2014 will be a very interesting year for real estate in general, but especially for Grand Rapids and the surrounding communities. Read the article here.