Median Home Price Jumps

The cost of purchasing a home has risen according to Redfin, climbing 2.8% year-to-year in April. 

The published data from Redfin’s report indicated that only five of the 85 largest metros saw a year-over-year decline in their median price. One such area was San Jose, which over the past five years saw its home values appreciate 78%, so a 5% dip in price is actually a healthy sign. San Jose area’s median home value now is $1,128,300. San Jose isn’t the only market showing signs of cooling; San Francisco home values have fallen by 0.1% as well.

Still, in general, pricing is reflecting a cautious optimism. With mortgage rates below the averages that they were this time last year, we can expect to see homebuyers stepping back into the market.

The good news is that the economy continues to thrive while home prices are keeping pace with the growth rather than leap-frogging to higher levels.

The Redfin report indicates that they don’t expect to move higher “in a meaningful way this year.”

In many markets, inventories are increasing again, which is another attractive factor when it comes to bringing in serious buyers.

The Redfin analysis saw home sales falling in 41 of the 85 largest housing markets.

To read the original article on Refin’s site click here!