First American has released the newest edition of its Real House Price Index, which reflects inflation factors such as shifts in income and mortgage rates. According to the report, the influence of better wages and declining interest rates shows that even though prices are close to peak in many major metros, consumers are gaining buying power.
- Adjusted for inflation, home prices across the nation are 38.5 percent lower than their peak a decade ago.
- Without inflation factored in, the national price level is 2.6 percent away from the housing boom peak in 2007.
- With the RHPI standardized at 100 to represent home prices in 2000, San Francisco holds a Real Price Index of 99.9.
- San Francisco was no. 4 among markets with the highest year-over-year decrease in RHPI.
Inman Connect New York | January 29 - February 1, 2019