Home price growth slowed in May and was the first decline for the index since September, according to the CoreLogic Home Price Index…(CoreLogic)
- Y-O-Y: Home prices nationwide were up 20.2% in May when compared with May 2021, this was down from the 20.8% reported for April.
- M-O-M: Home prices increased by 1.8% in May compared to the previous month, this is down from the 2.6% reported in April.
NOTE: This is the first time since September 2021 that the HPI reported a month-over-month drop…
Florida saw the biggest annual price jumps at 33.2% in May (up from 32.4% in April) followed by Tennessee (27.4%) and Arizona (27.3%).
- Phoenix, AZ held onto the top spot despite a 1.0% drop in appreciation to 28.7% year-over-year growth in May followed by Las Vegas (26.5%) and (-0.5%) San Diego (24.5%).
Selma Hepp, Deputy Chief Economist for CoreLogic, said they are expecting a rapid deceleration of home price growth, “while annual home price growth still exceeds 20%, we expect to see a rapid deceleration in the rate of growth over the coming year. Nevertheless, the normalization of overheated buying conditions should bring about more of a balance between buyers and sellers and a healthier overall housing market.”
- Speaking of the future, The CoreLogic HPI Forecast is predicting a 1% increase from May to June and a 5.0% increase year-over-year in May 2023.