Stable Economy and Limited Supply Continues to Influence High Home Prices
It's the story we've been hearing for much of 2017, home prices have been increasing at a strong pace. That increase is being attributed to the strong/stable economy along with a limited supply of housing to meet the demand.
“On a year-over-year basis, home prices grew in excess of 6% for four consecutive months ending in October, the longest such streak since June 2014,” CoreLogic chief economist Frank Nothaft said in a release, according to Reverse Mortgage Daily.
“This escalation in home prices reflects both the acute lack of supply and the strengthening economy.”
This shouldn't come as a surprise to real estate and mortgage professionals who have been scrambling to find homes and loans for prospecting buyers.
It is becoming a bit more difficult for first time homebuyers to find a reasonably priced home to meet their needs. If this trend continues, it may become nearly impossible in the current market.
To learn more about the increase in home prices and the effects felt by a stable economy as well as limited supply, click on the image above.