MarketWatch reports that housing prices have increased, but there isn’t a real estate bubble. Home prices are expected to level off.
Home prices increased 12.2% from February 2013 to February 2014, marking the 24th consecutive month of year-over-year growth, according to the most recent CoreLogic Home Price Index Report. That trend is expected to continue, with a 10.5% year-over-year increase projected for March. There was also a slight month-to-month increase of 0.8% from January to February.
In the report, Mark Fleming, chief economist at CoreLogic, puts the data in perspective: “Although prices should remain strong in the near term due to a short supply of homes on the market, price increases should moderate over the next year as home equity releases pent-up supply.”
Read the MarketWatch report: No real estate bubble here: home prices to level off.