Nearly 7 in 10 Metros Saw Home Prices Gains in Q1 2023

The National Association of Realtors is reporting that in Q1 2023 seven in 10 metro areas saw home price gains.  In addition, they say 7% of the 221 tracked metros registered double-digit price increases over the same period, down from 18% in Q4 2022.  The NAR says among the major U.S. regions, the South saw the largest share of single-family existing-home sales (46%) in Q1, with a year-over-year price appreciation of 1.4%. Prices climbed 2.9% in the Midwest yet slipped 0.1% in the Northeast and 5.3% in the West.  Unsold Inventory in Q1 averaged 1,630,000 listings at any given time, representing a 40% reduction from Q1of 2019 – a year before the onset of the COVID-19 pandemic.

“Generally speaking, home prices are lower in expensive markets and higher in affordable markets, implying greater mortgage rate sensitivity for high-priced homes…”

[HOWEVER]

“Due to the intense housing inventory shortage, multiple offers are returning, especially on affordable homes…Price declines could be short-lived.”   Said the NAR’s Chief Economist Lawrence Yun.

Click here to read the full report at the NAR.

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