What You Really Need To Know About Home Prices
According to recent data from Fannie Mae, almost 1 in 4 people still think home prices are going to come down. If you’re worried about that, here’s what you need to know.
Much of the fear comes from media headlines or online content. Remember: negative news sells, so you may not be seeing the full picture. As Jay Thompson, a Real Estate Industry Consultant, explains:
“Housing market headlines are everywhere. Many are quite sensational, ending with exclamation points or predicting impending doom for the industry. Clickbait, the sensationalizing of headlines and content, has been an issue since the dawn of the internet, and housing news is not immune to it.”
Home Prices Rose the Majority of the Past Year
Case-Shiller releases a report each month on home price changes. Looking at data from January 2023 through the latest report shows the following:
Notice the green bars? They show home prices rose for most of the year. The small red dips are almost flat and are often overemphasized in media coverage. Overall, home prices still increased.
It’s normal for growth to slow in winter due to fewer moves and less market activity. Even small gains at the end of the year show continued upward momentum.
“Month-over-month numbers were relatively flat. However, the annual growth was more significant for both indices, rising 7.4 percent and 6.6 percent, respectively.” – Case-Shiller
Bottom Line
The data shows that, overall, home prices rose over the past year. If you have questions about current trends in our area, let’s chat.
