The housing market is finally getting unglued: less than a week after Case Shiller (which reports home prices with a substantiakl laga) reported the first negative monthly change in home prices…
One month after we reported that home prices finally dropped for the first time in year, an observation echoed yesterday by Black Knight which also found that home prices had fallen for the first time in 3 years last month – in the biggest decline since 2011 – we knew the other shoe in the ongoing housing crash was set to drop any minute.
Home prices declined 0.77% from June to July, the first monthly fall in nearly three years, according to Black Knight, a mortgage software, data and analytics firm.
Rising mortgage rates and inflation in the wider economy caused housing demand to drop sharply in June, forcing home prices to cool down.