Two reports came out recently showing the change in home
prices since the beginning of the pricing decline in 2006, the precipitous
decline in 2008-2011, and the steady recovery to where we are today.
The chart below shows that peak pricing occurred in 2006, had
a dramatic decline of about 30% in late 2008 and continued to fall about another
5% until early 2012, when it started to turn upward.
It’s important to note, that home prices recovered fully to the
2006 highest price level, at the beginning of 2017 and continues to increase another
5% by the end of 2018. The report also predicts a 4.7% increase for 2019.
If you are planning to buy a home, in the near term, you can
get an idea of whether a house is priced right by taking the 13-year price
history and comparing it to the asking price. Be sure to factor-in improvements
over the 2006-2018 time period and you will be able to have a level of comfort
as to the selling price.
At
Beninati Associates, good analysis and smart-thinking go hand-in-hand when we make
deals! Call us at 631 765 5333.
Source: HOME PRICE INDEX HIGHLIGHTS: FEBRUARY 2019, Molly Boesel, CoreLogic, April 2, 2019.
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