If you've ever dreamed of buying your own place or selling your current house to get a nicer one, you know how the ups and downs of home prices can make you feel. It's like a rollercoaster ride of financial dreams, doubts, and a bit of worry that many people go through.

But if you've been holding back on moving because you're scared that home prices might go down, let me tell you, they're not going down. In fact, they're going up, and they have been for a while now. Here's the scoop in simple terms:

What's Been Happening:

In the first half of 2022, home prices shot up a lot (those are the big green bars on the left side of the chart). These price increases were huge and not sustainable.

So, in the second half of 2022, prices took a little dip (shown in red). But these drops were small and didn't last long. However, the media focused a lot on these drops in their news, which made a lot of people worried.

But here's what's important: In 2023, prices are going up again, but this time at a more normal rate (those are the green bars on the right side of the chart). After the super high prices and the small drops in 2022, the fact that all the reports show normal price increases in 2023 is good news for the housing market.

Orphe Divounguy, a fancy economist at Zillow, says it like this: "The U.S. housing market had a little hiccup from July 2022 to January 2023. But that didn't last long, and housing is doing great in 2023."

Why Prices Keep Going Up:

One big reason why home prices are still going up is that there aren't enough homes for sale for all the folks who want to buy them.

When mortgage rates go up, it makes people less eager to buy homes, but it also makes fewer people want to sell. That's because some homeowners don't want to give up their low mortgage rate to get a higher one for their next home.

So, with higher mortgage rates affecting both buyers and sellers, the supply and demand balance in the housing market gets messed up. But because more people want to buy homes than there are homes to buy, prices just keep going up. Freddie Mac, another expert, says: "Even though rates are up, the lack of houses for sale means prices are going up too."

What It Means for You:

• Buyers: If you've been waiting to buy a home because you're scared it might lose value, knowing that prices are going up should make you feel better. Buying a home can be a smart move because they usually become more valuable over time.

• Sellers: If you've been holding off on selling your house because you were worried about changing home prices, it might be a good time to work with a real estate agent and put your house on the market. You don't have to wait anymore because the latest data shows that home prices are in your favor.

So, there you have it. Home prices are on the rise again because there are more buyers than houses to go around. If you've been thinking about making a move, now might be a good time to take action.