If you look at the two charts that show long term U S home price trends you will see one that tracks average home prices for the entire country going back to 1970. The other chart shows the Case Shiller Minneapolis Home Price Index since it was started in 1989. Examining the pre-bubble trend line in both charts reveals an interesting result. If you continue the trendline in both cases you will find that today’s home values fall very close to the extension of the trendline. The question is are we bending the long term trendline? Are we going to establish a different trend or are we just getting back to where we should be on a continuation of the existing trend? Please comment and let me know what you think.
Industry News, Real Estate Trends, Residential Real Estate