Wednesday, August 27, 2014

The Housing Market is Softening

The US housing market appears to be softening a bit after a torrid run-up in the last 18 months. National home prices, as tracked by the Case Shiller index, had jumped at nearly a 15% rate of change year over year as of earlier this year.  But the pace of change has slowed markedly in recent months to 8%.

The CoreLogic Home Price Index is showing a similar trend with prices slowing to 7.5% in recent months.  The average annual price change in 1978 has been about 5.5% so we appear to be coming more in-line with the historical average.


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