It’s hard to not feel bad today for homebuyers, who are being simultaneously squeezed by rising mortgage rates and ever-higher home prices. But at long last, some relief seems to be on the horizon.
“How’s the Housing Market This Week?” is our regular column in which we look at real estate statistics. For the week ending Sept. 10, they indicate that the runaway real estate inflation that homebuyers have been struggling to keep up with is slowing down—if just by a bit.
“Although home prices continue to register double-digit growth relative to one year ago, the rate took a notable step back this week to the lowest pace since January,” notes Realtor.com® Chief Economist Danielle Hale in her analysis.
Here are the latest figures and what they mean for both homebuyers and sellers so that all can stay on top of today’s fast-changing market.
Home prices are still growing, but they’re definitely slowing-
In August, home prices hovered at a national median of $435,000. And prices are still rising—by 11.7% for the week ending Sept. 10 compared with this same week last year.
While that’s the 39th straight week of double-digit growth, the glimmer of good news for buyers is that this week’s rate does mark the lowest level seen since January. The home price growth in previous weeks clocked in even higher—in the 15%–16% range throughout July, followed by the 13%–15% range in August. In this context, this latest week’s 11.7% price growth doesn’t seem so bad.
Plus, now that summer’s homebuying frenzy is over, real estate prices are already sloping downward along with dwindling temperatures.
“Home prices typically decline as we move into the second half of the year, one of the key seasonal trends that help make fall the best time to buy a home,” says Hale.
In fact, statistics suggest that the very best time to buy a house in the entire year is the last week of September, when prices are slated to be $20,000 lower than June’s all-time high of $450,000.
By: Judy Dutton
