What is Really Happening with Home Prices? – Discover Living & Real Estate in Solano County

What is Really Happening with Home Prices?

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What is Really Happening with Home Prices?

What is Really Happening with Home Prices? | MyKCM

Home values have softened over the last twelve months. We are no longer seeing 6-7% annual appreciation levels for the national housing market. The current numbers are closer to 4%. Some have suggested that year-over-year appreciation levels could fall to 3% or less this year.

However, a stronger-than-expected economy and a good spring housing market have changed some opinions. Some analysts are now predicting that home value appreciation may begin to increase as we move forward.

Here are three examples:

Mark Fleming, Chief Economist of First American

“Data on the movement of unadjusted house prices during the early spring home-buying season won’t be available for a few more months, but it’s quite likely that price appreciation will accelerate again.”

CoreLogic’s April “Home Price Insights

“Home prices nationwide, including distressed sales, increased year over year by 3.7% in March 2019 compared with March 2018…The CoreLogic HPI Forecast indicates that home prices will increase by 4.8% on a year-over-year basis from March 2019 to March 2020.”

Pulsenomics’ Quarterly “Home Price Expectation Survey”

  • The 2018 4th Quarter survey called for 3.8% appreciation for 2019.
  • The 2019 1st Quarter survey raised the appreciation projection for this year to 4.3%.

Bottom Line

Price appreciation has slowed over the past year. However, a strong economy and a good housing market have many experts thinking that home values might re-accelerate moderately throughout the rest of this year.

Serge Santos
Serge Santos
Serge Santos, is a Broker-Associate at RE/MAX Gold Elite Team, based in Fairfield, California, 18-year veteran of the real estate industry and has represented clients all over Solano and Sacramento areas in all sorts of real estate transactions, selling more than 400 properties representing both sellers and buyers. Active in the community, Serge is a long-time resident of Solano County for almost 20 years. He has extensive knowledge and experience in the local real estate market. As a client, you will benefit from Serge's in-depth knowledge of the local housing market and his "people-first" approach to business. He looks forward to helping you achieve your real estate goals.

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