If you’ve been weighing whether now is the right time to enter the local housing market as a home buyer, we have some news to share with you that will help you decide. According to a recent report from real estate data provider CoreLogic, U.S. home price gains are slowing down, despite an increase during the month of August. This is great news for home buyers because it means that you have a fantastic opportunity to get a reasonable price on your next home before prices continue to rise!
What Every Home Buyer Should Know
CoreLogic reported that home prices increased 6.4 percent in August when compared to last year. Still, that figure is actually down slightly from the annual gain of 6.8 percent in July.
Here’s what else the recent housing market report revealed:
- The increase in home prices is also down when compared to how much they had been rising toward the end of last year. During that time, prices were rising as much as 12 percent.
- Home sales have been mostly stable throughout 2014, as have price gains.
- All states showed home price gains during the month of August, save for Arkansas where prices were stagnate.
- Home prices nationwide remain about 12.1 percent below their peak average in April 2006.
- Home purchases decreased 1.8 percent to a seasonally adjusted annual rate of 5.05 million in August.
- Home sales decreased from a July rate of 5.14 million.
- Meanwhile, the pace of home sales dropped 5.3 percent year-over-year.
- Experts say that an annual sales rate of 5.5 million is considered a healthy market.
- Meanwhile, the median sales price has increased 4.8 percent over the last 12 months to $219,800, although that average dropped slightly during the month of August when compared to July and June.
Experts say that most of any uptick in sales activity (and thus, values) on the national housing market would depend on wage growth. That’s because wages are currently neck-in-neck with inflation, making it hard for home buyers to increase in buying power.
Let us help you navigate the market!
As you can see, the market has stabilized itself enough where you could purchase a home and get a pretty good return on your investment as values eventually continue to rise.
So if you’re thinking about investing in real estate anytime soon, now is the time to do so! Please give Paige or Chuck a call if you have any questions about this post or need other specifics about the real estate market.