by Calculated Risk on 1/02/2023 01:47:00 PM
Today, in the Real Estate Newsletter: Question #9 for 2023: What will happen with house prices in 2023?
A brief excerpt:
I’m adding some thoughts, and maybe some predictions for each question.
9) House Prices: It appears house prices – as measured by the national repeat sales index (Case-Shiller, FHFA, and CoreLogic) – will be up around 7% in 2022. What will happen with house prices in 2023?
The first question I’m always asked is what “Will happen with house prices?”. No one has a crystal ball, but it does appear house prices will decline in 2023.
…The following graph – as of the NAR release last month – shows that Case-Shiller followed the median prices up and is now following the deceleration in median prices down. It is likely the median price will be down year-over-year in a few months – and Case-Shiller will follow.
Note: Median prices are distorted by the mix (repeat sales indexes like Case-Shiller and FHFA are probably better for measuring prices).
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