Home prices continue to rise proportionate to demand. CoreLogic HPI predicts a continued increase in both areas. This trend does not appear to be letting up soon. With the impact of the UK’s decision to leave the European Union, the potential result will be felt throughout the housing market in lower mortgage rates and increase demand for a tight housing inventory.
Facts and forecasts:
- Home prices, including distressed sales, increased by 5.9% from last year.
- Home prices increased year over year between 5% and 6% for 22 consecutive months.
- Resale activity is the highest today over the past 9 years.
- The HPI Forecast showed that prices will increase by 5.3% annually by May 2017, and by 0.8% month-over-month in June 2016.
“The recent turbulence in financial markets should lead to modestly lower mortgage rates, which will provide even more support to the steadily improving real estate recovery,” said CoreLogic’s President and CEO Anand Nallathambi.