CHICOPEE, Mass. (WWLP) – Home prices may be on the verge of cooling off after rising steadily since January.
While home prices are still gaining, which they usually do at this time of year, the gains fell below their 25-year average.
Earlier this summer, home prices hit another all-time high rising 2.3 percent. But prices weakened month to month, according to Black Knight real estate.
This is a signal that a slowdown in prices may be underway again. This recent data points to lower average purchase prices and the adjusted price per square foot among recent home sales.
Mortgage rates rose sharply last summer and fall, causing prices to drop. They then came down last winter and spring, causing home prices to turn higher again. A drop in prices would come as some relief to buyers, but home ownership isn’t as attainable as it should be.
On average, it takes roughly 38 percent of the median household income to make the monthly payment on a median-priced home. Housing supply remains at near historic lows, bringing up demand, and sustaining higher home prices, but hopefully not for long.
Melissa Torres is a reporter who has been a part of the 22News team since 2021. Follow Melissa on X @melissatorrestv and view her bio to see more of her work.
