Is the Great Housing Market Deceleration Finally Here?
Concerns over a potential housing bubble have been brewing for a while. The last two years marked unparalleled growth in home values, where the median home price rose by an incredible 36% from March 2020 to March 2022. This was on top of the 10-year bull market for real estate, where the average annualized bump in home values was roughly 12% per year -- three times the historical average. Growth at this rate isn't sustainable.
And it seems the housing market could be reaching a breaking point. With more homebuyers getting pushed out of the market due to high prices, rising mortgage rates, or getting outbid in bidding wars, the market is shifting.
Spring sales activity is down, ushering in what many are calling the Great Deceleration of the housing market. Here's why experts are saying a new era for home prices is finally here and what the Great Deceleration could mean for the housing market.
Source Fool.com
