The U.S. housing market is cooling as high mortgage rates, rising inventory, and weakening demand weigh on home prices, CNBC writes.
Annual price growth slowed to 1.3% in June, the weakest pace in two years, according to ICE, a mortgage technology firm. Nearly one-third of the nation’s 100 largest markets are seeing prices drop by at least a full percentage point from recent highs.
Single-family home prices rose 1.6%, but condo prices slipped 1.4%. Inventory has climbed 29% from a year ago, though growth slowed in spring. Mortgage rates, averaging in the high 6% range, remain about double their pandemic-era lows.
Homes are also taking longer to sell, which may discourage new listings.
Regionally, prices are still rising in the Northeast and Midwest, but declines are accelerating in the South and West. Cape Coral, Florida, posted the steepest drop at 9%, with Austin and Tampa also seeing declines.
Read the full story. Read more about how the Capital Region market performed.
