Housing Prices Are NOT Heading For Another Crash

Dated: 01/03/2018

Views: 68

Image title

As home values continue to increase at levels greater than historic norms, some are concerned that we are heading for another crash like the one we experienced ten years ago. We recently explained that the lenient lending standards of the previous decade (which created false demand) no longer exist. But what about prices?

Are prices appreciating at the same rate that they were prior to the crash of 2006-2008? Let’s look at the numbers as reported by Freddie Mac:

Housing Prices are NOT Heading for Another Crash | Keeping Current Matters

The levels of appreciation we have experienced over the last four years aren’t anywhere near the levels that were reached in the four years prior to last decade’s crash.

We must also realize that, to a degree, the current run-up in prices is the market trying to catch up after a crash that dramatically dropped prices for five years.

Bottom Line

Prices are appreciating at levels greater than historic norms. However, we are not at the levels that led to the housing bubble and bust.

Latest Blog Posts

A New Housing Bubble Forming Not Before 2024

Saturday, March 10, 2018   /   by Carl GentileA New Housing Bubble Forming?... Not Before 2024A recent report by CoreLogic revealed that U.S. home values appreciated by

Read More

Osprey Pointe Sandestin

Inspiration from the OspreyOsprey Pointe at Sandestin earned its name from the population of Osprey nests embraced in the tree tops in this prime location. Even more inspiring is the nature of

Read More

Statement From NAR President Elizabeth Mendenhall About IRS Clarification On HELOC Deductions

WASHINGTON (February 22, 2018) - National Association of Realtors® President Elizabeth Mendenhall, a sixth-generation Realtor® from Columbia, Missouri and CEO of RE/MAX Boone Realty, issued

Read More

3 Dirty Words Of Real Estate

Elizabeth Ann Stribling-Kivlan, president of real estate brokerage Stribling & Associates in New York, calls out several buzzwords that real estate professionals should stop using or use more

Read More