US home prices are rising again after five months of declines, reaching a record high for the month of July, due to low inventory and homeowners refusing to sell amidst high mortgage rates.
The average U.S. home price has increased by 2.6% to $382,000 due to a lack of inventory, which has dropped more than demand, and significant declines in home prices have been seen in areas such as Austin, Detroit, and Phoenix, according to an analysis by Redfin.
Zillow predicts that US home prices will continue to rise, with a 6.5% increase over the next 12 months, driven by tight inventory levels and high demand, while other firms like Moody's Analytics and Morgan Stanley believe there may be a decline in home prices by the end of 2024.
Home prices in the US have continued to rise for the fifth consecutive month, reaching near all-time highs, although high mortgage rates could impact further price gains for the rest of the year. Cities in the Midwest and New England saw the most notable price acceleration, while cities in the West experienced year-over-year price drops. Low inventory remains a challenge, with few homeowners wanting to sell, leading to higher prices and increased competition for available homes. In contrast, the rental market is offering more affordability as rental inventory increases.
US mortgage rates have slightly decreased after five consecutive weeks of increases, but still remain above 7% due to inflation concerns. The combination of high rates and low housing inventory is making it more difficult for potential homebuyers to enter the market, leading to lower home sales.
In August, the number of homes actively for sale decreased by 7.9% compared to the previous year, while the total number of unsold homes, including those under contract, decreased by 9.2%.
Home prices in the US hit another all-time high in July, but month-to-month gains weakened and suggest a potential slowdown, likely due to rising mortgage rates and increased listings.
Average 30-year mortgage rates are still elevated at 6.94% in August, but they are expected to come down by the end of the year; however, a significant drop that will boost homebuying demand is not likely until 2024 or 2025, but there are advantages to buying a home even when rates are high, such as less competition.
The Atlanta-area housing market in August reached a plateau with slow price increases due to high mortgage rates, limited inventory, and a housing shortage, but experts predict a flood of buying once mortgage rates decrease.
Mortgage rates have slightly decreased from their peak in late August, but future trends will depend on the economy and inflation rates, with potential decreases if inflation slows and the Federal Reserve stops increasing its benchmark rate.
Mortgage payments in the US have reached a record high due to high mortgage rates and increasing home prices, causing pending home sales to decline by 12% year over year and pushing some buyers to the sidelines; however, sellers can still expect fair prices due to low inventory.
The Greater Boston housing market experienced a slow month in August, with home sales dropping to their lowest point for the month since 2010, primarily due to higher interest rates and a shortage of available homes for sale, leading to increased competition and higher prices for buyers.
Home prices in California reached a 15-month high in August 2023, attributed to rising mortgage rates and a shortage of homes on the market, but the market is expected to improve in the last quarter of the year as interest rates ease, according to the California Association of Realtors.
U.S. home price growth increased to 2.5% year-over-year in July, with Miami, St. Louis, and Detroit driving the growth, while 11 states saw annual home price declines, according to CoreLogic's latest home price index data. Rising mortgage rates and a lack of inventory are putting pressure on potential homebuyers, and pending home sales have seen slight upticks, particularly in the West and South regions.
Sales of previously owned homes in the US fell for the third consecutive month in August, as higher mortgage rates, rising prices, and a lack of available properties have limited homebuyers' options.
Sales of previously owned homes fell 0.7% in August from July, with high mortgage rates and tight supply impacting potential buyers.
Homebuyers are making fewer deals in August due to rough housing conditions, and the situation may worsen with potential mortgage rate increases to 8%.
Home sales in the American Midwest defied the national trend by increasing in August, while sales across the country declined, due to high mortgage rates and low supply, according to data from the National Association of Realtors. Overall, home sales decreased by 0.7% in August and over 15% from the previous year, but analysts noted a stabilization in the market. The Midwest saw a 1% increase in home sales compared to July, but a more than 16% decline compared to the previous year.
The rise in housing prices over the past three years can be attributed to a shortage of supply, low volume in the market, and the introduction of mortgage rate buydowns; however, there is now a risk of too much inventory being introduced into the market, and a potential decline in mortgage rates could lead to a large amount of existing homes being sold and a subsequent oversupply.
US home prices reached a new high in July, rising for the sixth consecutive month due to inventory shortages and increased competition, with the S&P Case-Shiller US National Home Price Index reporting a 0.6% monthly increase and a 1% increase over the past 12 months on a seasonally adjusted basis.
US home prices reach a record high as the market rebounds, with prices increasing for a sixth consecutive month and offsetting last year's decline, according to S&P CoreLogic Case-Shiller data.
Rising mortgage rates and seasonal factors have led to a 7.1% plunge in pending home sales for August, with every region experiencing a decline, exacerbating the existing issues of expensive mortgages, rising prices, and low inventory in the housing market.
As the US housing market starts to cool down, homebuyers are being presented with a good opportunity as more homes see price reductions, according to Zillow, with 9.2% of listings having a price cut in the week ending September 16, a higher rate than in 2019.
Home prices in the U.S. rose by 3.7% in August, with New England states experiencing the largest growth, while Western states saw declines in home prices; California had the highest median sales price, and CoreLogic predicts a 3.4% annual home-price growth by August 2024.
Home buying demand drops as U.S. mortgage rates reach highest level since 2000, leading to a decline in mortgage application volume.
The fall housing market is experiencing a decrease in home sellers and a limited inventory, leading to high prices and limited affordability, although there is some potential for buyers to find more reasonably priced homes.
The average long-term U.S. mortgage rate has reached its highest level since December 2000, making it more challenging for potential homebuyers to afford a house and discouraging homeowners from selling due to locked-in low rates from two years ago. The combination of high rates and low home inventory has exacerbated the affordability issue, pushing home prices near all-time highs and leading to a 21% drop in sales of previously owned homes. The increase in mortgage rates is attributed to various factors, including inflation shifts, labor market changes, and uncertainty surrounding the Federal Reserve's next move.
Home prices rising alongside high mortgage rates have made the housing market the least affordable it has been since the early 2000s, with sellers reluctant to sell and buyers struggling with high spending on housing, leading to low existing-home sales volumes and a "lock-in" effect.
Home sales in the US dropped in September to the lowest level in 13 years due to rising interest rates and climbing home prices, making it unaffordable for many potential buyers. The low inventory of homes for sale pushed prices up, with the median price for existing homes reaching a record high of $394,300 last month.
U.S. existing home sales dropped 2% in September due to high mortgage rates and a shortage in housing supply, with prices falling slightly and the supply crunch being driven by the surge in mortgage rates over the past year.
Sales of previously occupied U.S. homes in September dropped to their slowest pace in over a decade due to surging mortgage rates and limited inventory, while home prices continue to rise.
Existing home sales fell to levels not seen since the Great Recession while prices remained high amid the highest mortgage rates in 23 years, signaling a slowdown in the housing market.
The US housing market is experiencing a significant decline in existing-home sales, with September seeing a 15% drop compared to the previous year, due to factors such as high mortgage rates, low inventory levels, and rising home prices.
