Monthly price growth may statically be slowing, but new data out from CoreLogic shows the October was a banner month for real estate.
According to the just-released report, U.S. annual home price growth hit 18 percent in October (compared to October 2020), the highest recorded in the 45-year history of the index. Still, monthly price growth has slowed from its peak back in April 2021.
Also of note in October, appreciation of detached properties was 6.6 percentage points higher than that of attached properties (19.5 percent compared to 12.9 percent).
Arizona, Idaho and Utah continued to lead on the state level, with the strongest price growth at 28.8 percent, 28.7 percent and 24.5 percent, respectively.
“New household formation, investor purchases and pandemic-related factors driving demand for the limited supply of available for-sale homes continues to propel the upward spiral of U.S. home prices,” said Frank Martell, president and CEO of CoreLogic. “However, we expect home price growth to moderate over the near term as many buyers take a break for the holidays.”
Home price gains are projected to slow to a 2.5 percent annual increase by October 2022, per CoreLogic, as affordability and economic concerns deter some potential buyers and additional for-sale inventory becomes available.