Tuesday, June 26, 2012

House Prices to increase 10%?

by Calculated Risk on 6/26/2012 02:36:00 PM

Leave it to the NAR to get overly enthusiastic.

From Jeff Collins at the O.C. Register: Realtor guru: 10% home-price jump possible

"This time next year, there could be a 10% price appreciation. I would not be surprised to see that,” [National Association of Realtors Chief Economist Lawrence] Yun said.
It is one thing for prices to stop falling - and maybe increase a little over the next year. But, in addition to the large number of homes in the foreclosure pipeline, there are also many people waiting for a "better market" to sell - and I suspect the slightest appreciation will bring more inventory to market. A 10% increase over the next year? Well, three words: Not. Gonna. Happen.

Earlier on house prices:
Case Shiller: House Prices increased in April
Real House Prices and Price-to-Rent Ratio
All Current House Price Graphs