Home News These US housing markets are most stable as prices fall: Redfin

These US housing markets are most stable as prices fall: Redfin

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Housing markets in parts of the Midwest and East Coast are showing resilience despite falling home prices nationwide, according to research published by real estate firm Redfin.

Of the 100 most populous metropolitan areas in the United States, the housing market in Lake County, Illinois, experienced the least cooling from February to August this year. According to Redfin’s analysis Published on Tuesday.

That period coincided with a spike in long-term mortgage rates, now approaching 7% as the Federal Reserve steadily raises its benchmark interest rate.

Albany, New York ranked second among metropolitan areas with the least adverse market conditions, followed by Chicago. New Haven, Connecticut. and Milwaukee.

The regions at the top of the list share a common theme of affordability, with 8 of the top 10 housing markets reporting median home prices below the national level. As a result, these markets are less susceptible to the cooling effect of rising mortgage rates.

The housing market at the top of the list reportedly saw prices rise during a pandemic-era buying surge, but “is still affordable compared to the rest of the country,” says Sheharyar, senior economist at Redfin. Bokhari said in a statement.

Chicago is one of the most held up markets.
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New Haven House
New Haven ranks in the top five on Redfin’s list.
Getty Images

“They are slowly feeling the effects of economic headwinds such as inflation and Fed rate hikes. It’s set low, so there’s not much room for it to fall,” Bokari added.

Redfin notes that 9 of the top 10 locations were in the Midwest or along the East Coast. The company was previously in the bottom third of the country’s housing market, known as the Sunbelt. The worst impact of the current housing slowdown.

“There are still a lot of buyers looking for homes, many of whom didn’t take a chance in last year’s competitive market, but are relieved that prices have come down and there is less bidding war. said Chicago-based Redfin agent Ashley Arzer. “They are willing to buy homes even though interest rates are rising because they finally got the chance to get the offer accepted.

Where to stay in Illinois
Several metropolitan areas in Illinois are doing well despite a housing slowdown.
Bloomberg via Getty Images

To determine which housing markets have cooled the least, Redfin looks at median sales prices, year-over-year price declines, pending sales, percentage of sales to listings, and share of off-market homes. We ranked the metropolitan areas based on: Within 2 weeks after listing.

as the post reported Earlier this week, US house price growth slowed at its fastest annual clip on record in the 12 months to July, according to the latest S&P CoreLogic Case-Shiller Index data.

Monthly home prices fell through June and July, and many experts warn prices will continue to fall next year.

Federal Reserve Chairman Jerome Powell has admitted the housing market is in the middle of a reset — a trend he argued would improve conditions for buyers in the long run.

“From a sort of cyclical perspective, this difficult correction should bring the housing market back into better balance,” Powell said.

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