Home prices

In May, buyers in 15 of the 100 largest housing markets paid more than 50% over historic trends, up from 13 in April and 2 in July 2021, a study found.

The S&P CoreLogic Case-Shiller index recorded its strongest ever annual gain for March as housing market conditions remained highly competitive in the first quarter.

Several Sun Belt cities popular for relocation over the last two years were among markets with the most reduced listing prices in April.

Mortgage payments are claiming a bigger chunk of incomes for U.S. homebuyers, who also have to contend with quickly rising prices.

The U.S. economy unexpectedly shrank last quarter for the first time since 2020 as the trade deficit ballooned, adding to political headaches for President Joe Biden but unlikely to sway the Federal Reserve from hiking interest rates aggressively to combat inflation.

While housing costs continued to set records, several signs of moderation have begun to appear in the last several weeks, according to Redfin.

The steep ascent in borrowing costs, combined with high home prices across markets, is sidelining more prospective buyers.

But the amount relative to housing costs actually decreased from the previous year.

Recent affordability and interest rate trends led to “clear evidence” of discouragement among potential consumers in the purchase market in the first three months of 2022, according to the National Association of Home Builders.

One Cupertino broker noted a small shift in the market, with buyers being more particular and willing to back out of deals.