Deceleration of abnormal home price gains or return to
normal price appreciation: After two years of abnormally high levels of home price appreciation in 2012 and 2013, price increases moderated throughout 2014.
Not exact matches
«Inventory levels remain well below
normal, and while there is still
price appreciation occurring in most markets, it is at a more moderate and sustainable pace.»
«The market should continue its slow march back to
normal, as annual (
price)
appreciation rates fall to more sustainable levels around 3 percent,» said Stan Humphries, chief economist at real estate data provider Zillow.
Additionally, new construction could help create a more
normal balance between supply and demand, taking some of the steam out of the rapid home -
price appreciation we've become accustomed to.
According to the 100 + experts that are surveyed for the Home
Price Expectation Survey,
normal annual
appreciation for residential single family homes from 1987 to 1999 was 3.6 %.
Let's assume that instead of the rise and fall in home
prices that we saw last decade, we just had
normal historic
appreciation from 2000 to today.
«Demand and
prices had been increasing at unsustainable rates,» says Larry Seay, chief financial officer of Meritage Homes Corp. «It is good for the industry to take a little breather, let the land market moderate, and get to a more
normal rate of growth and house -
price appreciation.»
But the level of
price appreciation is above a
normal rate, mostly due to an imbalance in the number of homes for - sale and high demand.
In other words,
price growth is slowing to a more «
normal» rate of
appreciation.
«That level of
price appreciation is well above the national expectation, but more importantly is well above the
normal, historical experience.»
If these economic theories hold up, the
price increases should taper off back to
normal appreciation.