Where Are Home Values Headed Over the Next 12 Months?

By
Real Estate Agent with eXp Realty

 

Where Are Home Values Headed Over the Next 12 Months? | MyKCM

As shelter-in-place orders were implemented earlier this year, many questioned what the shutdown would mean to the real estate market. Specifically, there was concern about Scottsdale home values. After years of rising home prices, would 2020 be the year this appreciation trend would come to a screeching halt? Even worse, would home values begin to depreciate?

Original forecasts modeled this uncertainty, and they ranged anywhere from home values gaining 3% (Zelman & Associates) to home values depreciating by more than 6% (CoreLogic).

However, as the year unfolded, it became clear that there would be little negative impact on the housing market (even the Phoenix housing market). As Mark Fleming, Chief Economist at First American, recently revealed:

“The only major industry to display immunity to the economic impacts of the coronavirus is the housing market.”

Have prices continued to appreciate so far this year?

Last week, the Federal Housing Finance Agency (FHFA) released its latest Home Price Index. The report showed home prices actually rose 6.5% from the same time last year. FHFA also noted that price appreciation accelerated to record levels over the summer months:

“Between May & July 2020, national prices increased by over 2%, which represents the largest two-month price increase observed since the start of the index in 1991.”

What are the experts forecasting for home prices going forward?

Below is a graph of home price projections for the next year. Since the market has changed dramatically over the last few months, this graph shows forecasts that have been published since September 1st.Where Are Home Values Headed Over the Next 12 Months? | MyKCM

Bottom Line

The numbers show that home values (even Gilbert home values) have weathered the storm of the pandemic. Let’s connect if you want to know what your home is currently worth and how that may enable you to make a move this year.

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Rainmaker
3,660,878
Will Hamm
Hamm Homes - Aurora, CO
"Where There's a Will, There's a Way!"

Hello and interesting forcast and glas to see homes have weathered the storm in most areas.

 

Oct 10, 2020 11:29 AM #1
Rainer
633,294
Sham Reddy CRS
H E R Realty, Dayton, OH - Dayton, OH
CRS

They are all over the place. NAR is expecting the values will go up slightly.

The numbers show that home values (even Gilbert home values) have weathered the storm of the pandemic. Let’s connect if you want to know what your home is currently worth and how that may enable you to make a move this year.

Oct 10, 2020 12:12 PM #2
Rainer
238,913
Don Baker
Lane Realty - Eatonton, GA

I firmly believe it will depend on the election in November as to the rate and direction.

Oct 10, 2020 12:33 PM #3
Rainmaker
3,721,624
Richard Weeks
Dallas, TX
REALTOR®, Broker

Great information, thanks for sharing.  I hope you have a great day.

Oct 11, 2020 03:12 AM #4
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