According to the latest CoreLogic Home Price Insights (HPI) report, home prices nationwide, including distressed sales, increased 4.8% year-over-year in May, up 3.6% from May 2019. CoreLogic says strong demand, especially by younger home buyers, and low supply helped push home prices higher in May. Last month they cautioned that 2021 would mark the first year home prices are expected to decline in more than nine years, due to the Coronavirus pandemic. In this month’s report, they stood by that prediction saying that home prices will decrease on a month-over-month basis by 0.1% from May 2020 to June 2020, and decrease 6.6% on a year-over-year basic from May 2020 to May 2021. Indeed….
“…By the end of summer, buying will slacken and we expect home prices will show declines in metro areas that have been especially hard hit by the recession.” Said Dr. Frank Nothaft, Chief Economist for CoreLogic