Home price appreciation dropped in July for the first time since December 2018, ending a 40-month streak of growth. But depending on the statistic referenced, this decline could be considered either an extreme or minor correction. One of the most widely-cited industry metrics for home price changes is the median sales price, which determines trends based on the midpoint of all houses sold in a given market. By contrast, repeat sales indexes, such as CoreLogic‘s Home Price Index (HPI) and the CoreLogic S&P Case-Shiller Index, measure appreciation based on the difference between the price of a home now versus its previous sale.
The CoreLogic Home Price Insights report features an interactive view of our Home Price Index product with analysis through September 2022 with forecasts through September 2023. CoreLogic HPI™ is designed to provide an early indication of home price trends. The indexes are fully revised with each release and employ techniques to signal turning points sooner. CoreLogic HPI Forecasts™ (with a 30-year forecast horizon), project CoreLogic HPI levels for two tiers—Single-Family Combined (both Attached and Detached) and Single-Family Combined excluding distressed sales.
Record-high home prices and rising mortgage rates have shut out a number of potential buyers, and the reduced competition gives other shoppers more time to house hunt before making an offer. Figure 1 shows the median days on market before a listing enters pending status for the month of September of each year since 2000. As of September 2022, the median days on market before pending was 19 days, which is eight days more than the median time in September 2021. However, it’s still less than one-third of the 20-year[\[1\]](https://www.corelogic.com/intelligence/the-pace-of-home-sales-slows-as-mortgage-rates-pick-up/#ftn1) average of 35 days before the pandemic.
CoreLogic®, a leading global property information, analytics and data-enabled solutions provider, today released its latest Single-Family Rent Index (SFRI), which analyzes single-family rent price changes nationally and across major metropolitan areas. U.S. single-family home rental costs posted an 11.4% year-over-year increase in August, marking the fourth straight month of annual deceleration. Even so, rental costs remained elevated, with annual growth running at about five times the rate than in August 2020 in the midst of the COVID-19 pandemic.
In the past two years, many creditworthy borrowers have taken advantage of ultralow interest rates to refinance their mortgages. As of July 2022, 80% of outstanding home mortgage loans had interest rates below or equal to 4%. However, rising interest rates have significantly reduced refinancing opportunities. With interest rates hovering around 6% and higher in September, refinancing activity has plummeted. Instead, home equity lines of credit (HELOCs) and home equity loans are gaining popularity as homeowners seek to tap their accumulated equity.
The average sums that buyers are parting with for a down payment are at an all-time high for all homes purchased in the United States. After falling during the housing crisis of the Great Recession (2008-2009), the average down payment amount has steadily increased. However, since the onset of the pandemic in early 2020, the average down payment sum surged, reaching a record high in May 2022. Home prices play a significant part in the size of down payments, and with increases in home prices over the last few years, average down payments have followed suit.
The CoreLogic Home Price Insights report features an interactive view of our Home Price Index product with analysis through August 2022 with forecasts through August 2023. CoreLogic HPI™ is designed to provide an early indication of home price trends. The indexes are fully revised with each release and employ techniques to signal turning points sooner. CoreLogic HPI Forecasts™ (with a 30-year forecast horizon), project CoreLogic HPI levels for two tiers—Single-Family Combined (both Attached and Detached) and Single-Family Combined excluding distressed sales.
Although U.S. single-family rent growth was up by 12.6% in July year over year, the gains continued to slow from the historic high recorded in April. CoreLogic observes similar price growth relaxation in most major metro areas tracked in the SFRI, including popular Sun Belt cities that have seen rental costs skyrocket. Miami’s 30.6% annual price gain again topped the country in July but is down from the 40.8% year-over-year growth recorded in March 2022. Phoenix, which posted a 12.2% annual gain in July, saw rental cost growth drop by 6 percentage points from March.
After large increases in mortgage fraud risk for much of 2021, our 2022 Annual Mortgage Fraud Report shows a 7.5% year-over-year decrease in fraud risk at the end of the second quarter of 2022. The decline is partially due to the recalibration of our scoring model in the first quarter of 2022. However, higher risks were recorded during months in the second quarter, particularly for certain types of mortgage fraud.
The CoreLogic Home Price Insights report features an interactive view of our Home Price Index product with analysis through July 2022 with forecasts through July 2023. CoreLogic HPI™ is designed to provide an early indication of home price trends. The indexes are fully revised with each release and employ techniques to signal turning points sooner. CoreLogic HPI Forecasts™ (with a 30-year forecast horizon), project CoreLogic HPI levels for two tiers—Single-Family Combined (both Attached and Detached) and Single-Family Combined excluding distressed sales.
Demand for second homes surged after the onset of the COVID-19 pandemic nearly doubling the pre-pandemic demand level in late 2020. Flexibility to work remotely, coupled with record-low interest rates, induced the hike in second home demand in 2020 and 2021.Though remote work remains common in 2022 and will for the foreseeable future, low interest rates have vanished, while home prices are at record highs. As a result, home affordability has decreased for all, whether looking to buy a primary residence or a second home.
New homes have experienced the same record price appreciation that the overall market has seen in the past two years. In June, the annual appreciation for new home prices was 17%, which is only slightly below 20% for existing homes1. To develop a more complete picture of the overall market, we must also look at the number of sales — and those tell a different tale.
CoreLogic©, a leading global property information, analytics and data-enabled solutions provider, today released its latest Single-Family Rent Index (SFRI), which analyzes single-family rent price changes nationally and across major metropolitan areas. Single-family rent prices remain elevated, up 13.4% from one year earlier, but have continued to relax compared with growth seen earlier this year. This deceleration could be partially due to worries over an impending economic slowdown, even though the job market added 528,000 positions in July, returning the employment rate to its level prior to the COVID-19 outbreak
The CoreLogic Loan Performance Insights report features an interactive view of our mortgage performance analysis through May 2022. Measuring early-stage delinquency rates is important for analyzing the health of the mortgage market. To more comprehensively monitor mortgage performance, CoreLogic examines all stages of delinquency as well as transition rates that indicate the percent of mortgages moving from one stage of delinquency to the next.
The CoreLogic Home Price Insights report features an interactive view of our Home Price Index product with analysis through June 2022 with forecasts through June 2023. CoreLogic HPI™ is designed to provide an early indication of home price trends. The indexes are fully revised with each release and employ techniques to signal turning points sooner. CoreLogic HPI Forecasts™ (with a 30-year forecast horizon), project CoreLogic HPI levels for two tiers—Single-Family Combined (both Attached and Detached) and Single-Family Combined excluding distressed sales.
The CoreLogic Loan Performance Insights report features an interactive view of our mortgage performance analysis through April 2022. Measuring early-stage delinquency rates is important for analyzing the health of the mortgage market. To more comprehensively monitor mortgage performance, CoreLogic examines all stages of delinquency as well as transition rates that indicate the percent of mortgages moving from one stage of delinquency to the next.
Although the real estate market showed signs of receding in Q4 2021, investors resumed their buying spree in early 2022. Investors made 28.1% of all single-family purchases in February, a record high according to CoreLogic’s data that goes back to 2011. March registered similarly high figures, with an investor share of 27.9%. Figure 1 depicts this bounce back in investor interest with investor share of home purchases rising nearly 5 percentage points from December (21.8%) to January (26.6%).
While 2021 was a banner year for the overall housing market, it proved particularly strong for luxury home purchases. Sales of luxury homes — defined as homes priced at or above $2 million — jumped 72% in 2021 compared to the year prior and 116% when compared to 2019. Although all price segments within the luxury home market saw a substantial jump, the largest increase occurred for homes priced between $10 and $20 million, a segment which was up 89% in 2021.
CoreLogic, a leading global property information, analytics and data-enabled solutions provider, today released its latest Single-Family Rent Index (SFRI), which analyzes single-family rent price changes nationally and across major metropolitan areas. U.S. single-family rent growth continued its hot streak in April, with prices up by 14% year over year, the 13th consecutive month of record-breaking annual gains. As in past months, a shortage of rental properties on the market is putting pressure on prices, as is a thriving job market, with the nation’s economy adding nearly 430,000 new positions in April and an annual wage increase of 5.5%.
The CoreLogic Loan Performance Insights report features an interactive view of our mortgage performance analysis through March 2022. Measuring early-stage delinquency rates is important for analyzing the health of the mortgage market. To more comprehensively monitor mortgage performance, CoreLogic examines all stages of delinquency as well as transition rates that indicate the percent of mortgages moving from one stage of delinquency to the next.
