According to CoreLogic, home prices nationwide increased year over year by 18% in September 2021 compared with September 2020. On a month-over-month basis, home prices increased by 1.1% in September 2021 compared with August 2021. In Florida, we saw even more annualized growth, with year over year prices going up by 20%.
The year-on-year growth is clearly not sustainable. The question we must ask ourselves is, “what will the future hold?” CoreLogic still sees a little growth. Other parties are forecasting a significant housing shortage through the rest of the 2020’s. If they are correct, there is still plenty of room for prices to run in the coming years. One thing we can be sure of is that everyone’s forecast will be wrong to some extent. If you have any questions, feel free to call me.