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FHFA · Home Prices · Housing Market · Inventory
U.S. single-family home price growth decelerated in December, with prices increasing by 1.8% year-on-year, a slowdown from the previous month's 2.1% rise.
Monthly house price gains were modest, showing a 0.1% increase after a revised 0.7% rise in November. Despite the slowdown, economists suggest that tight housing inventory, particularly for entry-level homes, may prevent a significant national price decline.
Factors influencing the market include the impact of trade and immigration policies on building material costs and labor supply, as well as state and local regulations affecting building lots. Mortgage rates have seen recent declines, but further drops are considered unlikely due to elevated U.S. Treasury yields.
Residential investment has contracted for four consecutive quarters.
US Home Price Growth Hits Decade Low Amid High Rates, Tight Inventory Curbs Deeper Fall(current)