U.S. home values rose on both a year-over-year and monthly basis in April, according to property analytics firm CoreLogic.
From April 2022 to April 2023, home values rose 2% nationwide. April prices were up 1.2% compared with March.
Prices have now risen for 135 consecutive months nationwide, according to CoreLogic. However, April was the sixth straight month of single-digit gains, and increases have slowed dramatically compared with the all-time high 20% annual appreciation the nation recorded in the spring of 2022.
In a summary of recent findings, Selma Hepp, chief economist at CoreLogic, says a shortage of homes for sale is helping support prices, even though mortgage rates have climbed sharply over the past year:
“While mortgage rate volatility continues to cause buyer hesitation, the lack of for-sale homes is putting firm pressure on prices this spring, leading to above-average seasonal monthly gains and a rebound in home prices in most markets.”
Whatever happens to national housing trends, a few key markets still are in jeopardy of a correction. CoreLogic says the following places are in the greatest danger of slipping during the next 12 months.
Port St. Lucie, Florida
Port St. Lucie, on Florida’s east coast, is already one of the “10 Places With the Most Home Sellers Slashing Prices” in 2023. After a decade of huge price jumps, things might be cooling a bit in the Florida city.
Cape Coral-Fort Myers, Florida
This housing market’s likelihood of a price decline over the next 12 months: Very high (more than 70% probability)
Price corrections could be on the way to Florida’s west coast as well. As far back as August, this market was identified as one of the “20 Housing Markets Overvalued by More Than 50%.”
North Port-Sarasota-Bradenton, Florida
This housing market’s likelihood of a price decline over the next 12 months: Very high (more than 70% probability)
This metro area, also on Florida’s west coast, remains among “The 25 Best Cities to Retire in Florida.” So, if prices fall, it may be time for retirees to go bargain hunting.
Provo-Orem, Utah
This housing market’s likelihood of a price decline over the next 12 months: Very high (more than 70% probability)
If you are a budding entrepreneur, Provo could be a good destination. The city is among the “Top 10 U.S. Metros to Start a Business.”
Lakeland-Winter Haven, Florida
This housing market’s likelihood of a price decline over the next 12 months: Very high (more than 70% probability)
Planning to move to Lakeland or Winter Haven? You better like the heat. The metro is Florida’s representative on the list of “The Hottest City in Every State.”
Do you plan to buy a home soon? Stop by our Solutions Center and find a great mortgage rate.
