The last few months we’ve see housing prices increasing faster than even during the housing bubble. While many people think it would go forever, housing price gains are slowing already.
Here’s a comparison of the NAR Median Price change and Case Shiller. Note that Case Shiller is 2 months behind and an average of 3 months of prices.
You can see Case-Shiller is smoother because of the 3 month averaging. You can also see it tracks NAR well. NAR is suggesting Case-Shiller will show moderating price changes soon.
The bottom line is housing price rises will slow over the next few months. With mortgages increasing and inventory not quite as low as before, national price trends will moderate.
