Do today’s headlines have you a little concerned about the change in home prices?
It is true that home prices have dipped nationally from their peak in June 2022. However, context is key and let’s look at the bigger picture of the change in value.
How much have home prices changed?
Seasonally-Adjusted Change in Home Prices according to Case-Shiller
- March 2020 through June 2022 saw an increase of 39.7%
- July 2022 through December 2022 saw a decrease of 2.8%
In this graph of how home prices have changed since the start of the pandemic, it shows with the red bar on the right that home values have dropped 2.8% nationally since June of 2022. However, the blue bar on the left shows home prices increased 39.7% over the two years prior. This means that the change in house prices is still up 36.9% over values before March 2020.
That really puts the recent changes into perspective. If you are worried about home price declines, then know that you likely haven’t lost all the value that you have gained over time.
With slowing house-price growth across the country and locally, a greater buyer purchasing power comes to play providing increased confidence, pointing to a housing market that is in recovery.
Don’t let the latest headlines about national home prices mislead you. It is likely that the value of your home is much higher than it was a few years ago.
If you have questions about what your home is worth in our local real estate market in Parker, Colorado and the Denver Metro Area, then connect with the Barrington Group Real Estate company, we take the real estate process seriously. We know the keys to selling your home this spring.
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Source: Forbes Advisor