Have housing prices already bottomed out for this cycle?

It seems like the anticipated drop in home prices might have happened already. Now, house prices are on the rise again, signaling a potential upward trend in the market. So, if you were thinking of buying a house, now could be a good time.

The information provided in this article is sourced from S&P Dow Jones Indices and CoreLogic.

 

The S&P CoreLogic Case-Shiller U.S. National Home Price NSA Index reported a 5.1% annual gain in November, up from the previous month's 4.7% rise.

The 10-City Composite and 20-City Composite also showed increases, with the former at 6.2% (up from 5.7%) and the latter at 5.4% (up from 4.9%).

Detroit and San Diego had the highest year-over-year gains among the 20 cities, with 8.2% and 8%, respectively and Portland was the only city reporting lower prices, falling 0.7% for the third consecutive month.

 

Browse Homes in Philly:

 

Data Source: S&P Global

November saw the first month-over-month decrease since January 2023, with the U.S. National Index and 20-City Composite both posting 0.2% declines, and the 10-City Composite a 0.1% decrease.

After seasonal adjustment, the U.S. National Index and the 10-City Composite posted 0.2% month-over-month increases, while the 20-City Composite posted a 0.1% increase.

 

Brian D. Luke noted that U.S. home prices dipped from their all-time high in November, ending a streak of nine monthly gains, with Seattle and San Francisco experiencing the largest monthly declines.

Despite the monthly dip, November's year-over-year gain marked the largest growth in U.S. home prices in 2023, with Detroit leading at 8.2% and San Diego at 8%.

Six cities reached new all-time highs in November, while Portland remained the only market in annual decline.

 

According to recent data, the Northeast and Midwest regions experienced the most significant gains in home prices, recording returns of 6.4% and 6.3%, respectively. Conversely, the West exhibited slower growth at 3%. This disparity in growth rates highlights regional variations in the housing market. The report also indicates a consistent upward trend in home prices nationwide, with minimal evidence of localized markets deviating from this trend. The observed narrow spread of performance suggests a general increase in property values across the country. The decline in house prices coincided with a peak in mortgage rates, which approached 8% based on Federal Reserve data. However, mortgage rates have since decreased by over 1%, potentially providing support for continued annual gains in home prices.

 

Homes for Sale:

 

Venture Philly Group

Buy. Sell. Invest.

info@venturephilly.com

o. 215.592.9522

604 S Washington Square, Philadelphia PA 19106

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