The new CoreLogic home report released in July has some interesting insights in the housing market trends and forecast.
- Year-over-year, national home prices for single-family homes, including distressed sales, are forecasted to rise by 5.4 percent by July 2017.
- Including distressed sales, national single- family home prices remain 6.1% below peak values recorded in April 2006.
- Twenty-one states have reached new highs this month: Arkansas, Colorado, Hawaii, Iowa, Indiana, Kentucky, Louisiana, Massachusetts, Montana, North Carolina, North Dakota, Nebraska, New York, Oklahoma, Oregon, South Dakota, Tennessee, Texas, Utah, Washington and Wyoming.
Values will continue to increase, year over year with 5.4% in the country. For Texas we should expect an increase in combined single family (including distressed sales) values of 2.7% in the next year.
The S&P CoreLogic Case-Shiller indices, released yesterday reports a gain year-over-year in July 2016 of 5.0%.
“The S&P CoreLogic Case-Shiller National Index is within 0.6% of the record high set in July 2006. Seven of the 20 cities have already set new record highs. The 10-year, 20-year, and National indices have been rising at about 5% per year over the last 24 months. Eight of the cities are seeing prices up 6% or more in the last year. Given that the overall inflation is a bit below 2%, the pace is probably not sustainable over the long term. The run-up to the financial crisis was marked with both rising home prices and rapid growth in mortgage debt. Currently, outstanding mortgage debt on one-to-four family homes is 12.6% below the peak seen in the first quarter of 2008 and up less than 2% in the last four quarters. There is no reason to fear that another massive collapse is around the corner.”
As for Dallas Metroplex, we have seen a 1-year change of 8.3% in home values.
Bottom line: our housing market is strong and there are no changes for the immediate future. Buy a home in Texas, because the price will keep going up!
Click here to view the complete S&P CoreLogic Case Shiller Index.
Click here to view the complete CoreLogic Home Price Insights Report.