• Skip to primary navigation
  • Skip to main content
  • Skip to primary sidebar
  • Skip to footer
Logo
  • Login / Register
  • 916.221.0886
  • Facebook
  • Instagram
  • LinkedIn
  • Pinterest
  • Home
  • Search
    • Advanced Search
    • Map Search
    • Luxury Listings
    • Open Houses
    • Just Listed
  • Sellers
    • Sell Your Home
    • What’s My Home Worth
    • Our Seller Guide
    • Live Market Reports
  • Buyers
    • Buyers
    • New Listing Alerts
    • Mortgage Calculator
    • Our Buyer Guide
    • Live Market Reports
  • Neighborhoods
  • About
    • About Us
    • Meet the team
    • Our Awards
    • Client Reviews
    • Giving Back
    • Careers
  • Blog
  • Contact
Home > No Worries… Home Prices Coming in for a SOFT Landing

No Worries… Home Prices Coming in for a SOFT Landing

February 28, 2019 by jleonardi

No Worries… Home Prices Coming in for a SOFT Landing | Simplifying The Market

Home prices have appreciated considerably over the last five years. This has some concerned that we may be in for another dramatic correction. However, recent statistics suggest home values will not crash as they did a decade ago. Instead, this time they will come in for a soft landing.

The previous housing market was fueled by an artificial demand created by mortgage standards that were far too lenient. When this demand was shut off, a flood of inventory came to market. This included heavily discounted distressed properties (foreclosures and short sales).

Today’s market is totally different. Mortgage standards are tighter than they were prior to the last boom and bust. There is no fear that a rush of foreclosures will come to market. The Mortgage Bankers’ Association just announced that foreclosures are lower today than at any time since 1996.

Case Shiller looks at the percentage of appreciation as compared to the same month the year prior. Here is a graph of their findings over the last ten months:

No Worries… Home Prices Coming in for a SOFT Landing | Simplifying The Market

As we can see, home price appreciation is softening as more inventory comes to market. This shows that real estate prices are not crashing, but merely returning toward historic appreciation numbers of 3.6% annually.

Bottom Line

Home prices are leveling off. Long term, that is a good thing for the housing market.

Powered by WPeMatico

Filed Under: Latest Blog Posts

Reader Interactions

Primary Sidebar

Greater Sacramento Market Reports

View Now

New Listing EmailNotifications

Sign Up

What's YourHome Worth

Details

Categories

  • In The News
  • Latest Blog Posts

ClientTestimonials

"John Leonardi is a SPECTACULAR real estate agent, who worked tirelessly to get us our dream house that already had another buyer locked in!! We saw this house come onto the market but within 4 hours of... continued"
- Dave & Kelli P. – El Dorado Hills, CA
View All
  • Facebook
  • Instagram
  • LinkedIn
  • Pinterest

Footer

logo

Leonardi Real Estate Inc.
2795 E. Bidwell Street #100-144
Folsom, California 95630

Search
About
Team
Sellers
Buyers
Careers
Blog
Contact

Receive OurNewsletter

Sign up and stay informed about what is going on with the local market.

  • This field is for validation purposes and should be left unchanged.

CalBRE#01737387  •  sitemap   •   admin   •   ©2019 All Rights Reserved  •  Real Estate Website Design by IDXCentral.com