Home Prices Gains Continue to Slow
March 6, 2019
Home price growth saw another sluggish month, but recent interest rates may put more people in a buying mood. Home prices for the month were up just 4.4 percent year-over-year, according to new data from CoreLogic. This is down from December’s increase of 4.7 percent, and continues the downward trend in price growth that began last April when price growth peaked at 6.6 percent. January’s increase was the smallest since August 2012.
CoreLogic notes that mortgage rates spiked last fall, slowing down home sales and price growth. Rates have since dropped, which has CoreLogic expecting robust sales and price increases this spring. The average 30-year fixed rate rose above 5 percent last year but has since slid back down to about 4.5 percent. When rates were at this level last year, price gains were about 6 percent annually.