Home Prices are a Lagging Economic Indicator
- Most of the declines in house prices happen AFTER a recession ENDS!!
- The S&L recession ended in March 1991.
- The Great Recession ended in June 2009.
Looks like there’s a lot of truth to the idea that most, or at least a lot of, real house price declines happen after a recession ends.
Of course, there were no real house price declines before, during, or after the 2001 Dot.com recession.
Nevertheless, it seems likely to me that we’ll see a recession start within the next 6 months or so.
Phoenix Single-Family Houses = 1.9 Months of Supply
- Similar to same weeks in 2017 and 2018
- A lot more than in 2020 (0.7 weeks) and 2021 (0.7 weeks )
- But a lot less than last year (3.2 weeks)
- Months of Supply will increase into January as it does most years
The Foreign Company That’s STILL Buying Houses
Click on the graphs to go to the full-size, interactive version.
Notice how very small changes in New Listings and Solds eventually cause HUGE changes in the number of houses For Sale and house Prices (see graph above).
This information can vary a lot in different parts of metro Phoenix. Your real estate agent can find the data for your specific city or zip code at The Cromford Report.