Will Home Prices Drop in 2020?
Low inventory and interest rates are keeping housing prices stable through 2020, but by next April, nine years of annual home prices gains may end, according to a report by CoreLogic. The real estate data company projects that prices will decline 1.3 percent year over year by April 2021, fueled by elevated unemployment levels and price drops in 41 states. For now, however, single-family homes have posted their largest price gains of the year in April, and home prices rose 5.4 percent nationally this month.
Nine years of annual home price gains are expected to come to an end by next April, according to the forecast by CoreLogic, although prices in Southern California are projected to continue rising.
U.S. home prices will drop 1.3% year over year by April 2021, the real estate data firm said Tuesday.
The forecast is predicting price drops in 41 states, with the biggest declines occurring in areas hit by downturns in tourism and oil and gas industries.