A sign was published on August 7, 2024 in front of a house for sale in San Rafael, California.
Justin Sullivan | Getty pictures
Over -flying property prices, high mortgage interests, increasing supply and falling demand combine everyone in order to cool down the country's housing market.
The annual growth of the home price in June was only 1.3%, which was the growth of 1.6% in May and the slowest interest rate for two years, according to ICE, a mortgage technology company.
Almost a third of the largest 100 markets now show an annual price drop of at least a full percentage point from the last heights, and the trend indicates that more markets will do the same. The single -family houses rose by 1.6%, while condominium prices went by 1.4% nationwide.
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The inventory rose steadily last year and increased by 29% in June compared to the same month of the previous year. However, the profits began to slow down last spring. The average interest rate for the 30-year-old permanent mortgage is twice as high for most of this year in the high 6%range in the early days of pandemic when the home prices started.
“At the moment there are two competing forces on the real estate market,” said Andy Walden, head of research for mortgage and real estate market at ICE. “Increasing inventory helps to make the houses more affordable, but the prices fall longer in an increasing number of markets and the sale, which could lead to homeowners reluctant to justify the list.”
Regionally, prices in the northeast and in the middle west still have great profits. They soften in the south and west. Cape Coral, Florida, recorded the greatest decline, with the prices a little more than 9%. Austin, Texas, and Tampa, Florida, as well as seven of the 10 large markets in California.