New Jersey Home Prices are Increasing!New Jersey Home Prices are Increasing[/caption]CoreLogic recently released their Home Price Index Report. One of the key indicators used in the report to determine the health of the housing market was home price appreciation. CoreLogic focused on appreciation from July 2013 to July 2018 to show how prices over the last five years have fared.
The graph below was created to show the 5-year change in price from July 2013 to July 2018 by price range.
As you can see in the graph, the highest price appreciation occurred in the lowest price ranges. 48% growth in that sector. The highest priced homes appreciated by 25%. This has been greatly fueled by the lack of inventory of homes available at the lower price ranges and high demand. From first-time buyers looking to enter the market and seasoned home buyers.
Where were prices expected to go?Every quarter, Pulsenomicssurveys a nationwide panel of over 100 economists, real estate experts, and investment and market strategists. They asked them to project how residential home prices will appreciate over the next five years. This was done for their Home Price Expectation Survey (HPES).
According to the Q3 2014 surveyresults, national homes prices were projected to increase cumulatively by 19.5% by December 2018. The bulls of the group predicted home prices to rise by 27.8%, while the more cautious bears predicted an appreciation of 11.2%.