US Home Prices Now Posting Biggest Monthly Drops Since 2009




  • In Business
  • 2022-10-03 04:01:00Z
  • By Bloomberg
 

(Bloomberg) -- Home prices in the US have taken a turn and are now posting the biggest monthly declines since 2009.

Most Read from Bloomberg

  • Credit Suisse CEO Seeks to Calm Markets as Default Swaps Climb

  • Tesla Deliveries Miss Estimates, Slowed by Logistic Snarls

  • OPEC+ to Consider Output Cut of More Than 1 Million Barrels

  • Get Ready for Another Bear-Market Rally, Strategist Emanuel Says

  • Ukraine Latest: Zelenskiy Says Lyman 'Fully Cleared' of Russians

Median home prices fell 0.98% in August from a month earlier, following a 1.05% drop in July, Black Knight Inc. said in a report Monday. The two periods mark the largest monthly declines since January 2009.

"Together they represent two straight months of significant pullbacks after more than two years of record-breaking growth," said Ben Graboske, Black Knight Data and Analytics president.

The housing market is losing steam fast with skyrocketing mortgage rates driving affordability to the lowest level since the 1980s. The Federal Reserve has sought to curb inflation, which has thrown cold water on the US real estate boom.

While prices are falling on a month-over-month basis, they're still significantly higher than a year earlier when the buying frenzy was going strong. Values were up 12.1% from a year earlier in August.

The sharpest correction in August was in San Jose, California, down 13% from its 2022 peak, followed by San Francisco at almost 11% and Seattle at 9.9%, the company said.

Most Read from Bloomberg Businessweek

  • The Unstoppable Dollar Is Wreaking Havoc Everywhere But America

  • The World Sees Brazil's Election as a Climate Flashpoint. Brazilians Have Other Concerns

  • Jay Powell Needs Investors to Lose Money

  • As Home Prices Surge, Americans Are Moving to Cheaper Places

  • Twitter Is in This Mess Because Jack Dorsey Was Too Busy Being a Bitcoin Influencer

©2022 Bloomberg L.P.

COMMENTS

More Related News

Citigroup Says Japan Stocks Poised to Fall After Recent Rally
Citigroup Says Japan Stocks Poised to Fall After Recent Rally

(Bloomberg) -- The rally in Japan's stocks is likely to give way by year-end, with a full-fledged economic rebound needed to sustain an uptrend in prices...

Food Prices Decline for Eighth Month Easing Inflation Pressures
Food Prices Decline for Eighth Month Easing Inflation Pressures

(Bloomberg) -- Global food prices fell for an eighth month in November, in a sign that inflationary pressures may be easing.Most Read from BloombergMusk's...

Resurgent Yen Faces Extra Boost From Insurers Chasing Hedges
Resurgent Yen Faces Extra Boost From Insurers Chasing Hedges

(Bloomberg) -- A rush by Japan's life insurers to protect themselves against a stronger yen may have the paradoxical effect of accelerating gains in the...

Oil Set for Weekly Gain as China Eases Restrictions Before OPEC+
Oil Set for Weekly Gain as China Eases Restrictions Before OPEC+

(Bloomberg) -- Oil headed for its biggest weekly gain in almost two months as China softened virus controls, Washington mulled a pause in sales from...

China
China's Central Bank Governor Says Focus Is Now on Growth

(Bloomberg) -- People's Bank of China Governor Yi Gang said the central bank's attention is now centered on economic growth, a sign policymakers may shift...

Leave a Comment

Your email address will not be published. Required fields are marked with *

Cancel reply

Comments

  • Brand
    (2022-10-03 06:30:37Z)

    Very good article! We will be linking to this particularly great post on our website.

    REPLY

Top News: Business