Two Florida Cities Expected to See Decline in Housing Prices, Analysts Say
DEBARYLIFE – At least in a few American cities, exorbitant housing costs might soon start to decline. Home prices are predicted to decline in some major cities over the next year by CoreLogic, a financial analytics firm that monitors real estate markets across the nation.
Cities in the South are primarily likely to witness a decrease in costs, even as housing prices in the Northeast—think New York, New Jersey, and Connecticut—continue to rise significantly.
Particularly in Florida, the tide seems to be changing. Real estate prices have skyrocketed in cities like Miami, West Palm Beach, Pembroke Pines, Tallahassee, and Nashville. Currently, a few of their neighbors in the Sunshine State might be past due for a refill.
As per CoreLogic, the following cities have the highest probability of experiencing a decrease in house prices:
– Franklin, Titusville, Palm Bay, Melbourne
-Roswell, Georgia, Atlanta, Sandy Springs
-In Washington, Spokane, and the Spokane Valley
-Decatur, Daytona Beach, and Ormond Beach, Florida
-Mauldin, Anderson, and Greenville, South Carolina
According to real estate specialists, there is a greater than 70% possibility of a price reduction by spring 2025 in any location where CoreLogic has classified the level of risk for one as “very high.”
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Home price rise over the previous year is expected to moderate slightly in the coming year, according to CoreLogic’s experts nationwide. A few years ago, the real estate industry was booming, but high mortgage rates are keeping it in check.
Considering that spring is typically the busiest time of year for home sales, the general increase in rates has been an unpleasant development for those looking to buy a property. In any given year, residences that are bought between March and June account for over one-third of all sales.
After rising mortgage rates and costs, home buyers in the United States saw a decline in sales of previously inhabited properties in March and April. Amidst a slowdown in borrowing costs, April saw a 7.7% decline in sales of newly constructed homes.
Potentially further slowing home sales is indicated by new statistics on contract signings for U.S. homes, a barometer for future home sales.
According to a report released by the trade association on Thursday, the National Association of Realtors’ pending home sales index decreased 7.7% in April over March. It’s the first decline in pending home sales since January, with April seeing it.
Even though there was more inventory available in the market, the impact of rising interest rates throughout April inhibited homebuying, according to chief economist Lawrence Yun of the NAR. “But better conditions, with more supply and better affordability, should result from the Federal Reserve’s anticipated rate cut later this year,”