Talking Points …
- According to Clear Capital’s Home Data Index (HDI) Market Report, prices have normalized post-bubble and future rates of growth will look more like historical rates of growth based on the fact that home prices are right in line with inflation adjusted long-run average levels.
- The report indicates that home prices have typically gained between three and five percent a year, and at the current quarterly rate of national growth (1.2 percent), peak prices won’t be reached until the year 2021, which is healthy for the industry overall.
- Inflation adjusted home prices at the metro level show 46 out of 50 metro markets’ home price levels at pre-2003 levels, with 25 out of 50 metros reporting prices below 2000 level. Each market saw yearly gains top out around 30 percent and now are seeing price gains cool substantially.