Wednesday, June 25, 2014

Slower home price increases in the US

A quick note on home price appreciation in the US. Prices are now rising at less than 6% per year and the pace is slowing.

That’s a good thing - we want to avoid the affordability collapse taking place in the UK or France. In fact US home prices are still rising faster than homeowners’ expectations. The long-term housing price increases should be in line with wages. And we all know where that is.

Shiller likes the slower price increase:

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