It's a question that’s top of mind for many as the housing market begins gearing up for spring. But, it can be hard to navigate misleading headlines and confusing data. According to Nataliya Polkovnichenko, Ph.D., Supervisory Economist at the Federal Housing Finance Agency (FHFA), U.S. house prices remained largely unchanged over the last four months, despite higher mortgage rates suppressing demand. Low inventories of homes for sale have helped maintain relatively flat house prices. The data shows that month-over-month home price changes have been mild since any depreciation peaked around August, and today’s home prices aren't in a freefall.
If you currently own a house, even the smallest decline in prices might concern you. However, home values have grown significantly over the past few years, and compared to that growth, any declines are likely to be minimal. Selma Hepp, Chief Economist at CoreLogic, shares that prices have only cumulatively dropped 3% since last spring's peak. It's also important to remember that every local market is different, so it’s essential to lean on an expert for the latest information on home prices in your area if you're planning to make a move this spring.
In summary, to understand what's going on with home prices in your market and how they could impact your goals, let's connect today.