Search
  • Yvonne Yang

Home Prices: What Happened in 2020? What Will Happen This Year?


The real estate market was on fire during the second half of 2020. Buyer demand was way up, and the supply of homes available for sale hit record lows. The price of anything is determined by the supply and demand ratio, so home prices skyrocketed last year. Dr. Lynn Fisher, Deputy Director of the Federal Housing Finance Agency (FHFA) Division of Research and Statistics, explains:

“House prices nationwide recorded the largest annual and quarterly increase in the history of the FHFA Home Price Index. Low mortgage rates, pent up demand from homebuyers, and a limited housing supply propelled every region of the country to experience faster growth in 2020 compared to a year ago despite the pandemic.”

Here are the year-end home price appreciation numbers from the FHFA and two other prominent pricing indexes:

  • Federal Housing Finance Agency House Price Index Report: 10.8%

  • CoreLogic Home Price Insights: 9.2%

  • S&P Case-Shiller U.S. National Home Price Index: 10.4%

The past year was truly a remarkable time for homeowners as prices appreciated substantially. Lawrence Yun, Senior Economist at the National Association of Realtors (NAR), reveals:

“A typical homeowner in 2020, just by being a homeowner, would have accumulated around $24,000 in housing wealth.”

What will happen with home prices this year?

Many experts believe buyer demand will soften somewhat as mortgage rates are poised to bump up slightly. Some also believe the inventory challenge will ease as more listings come to market this year.

Based on this, most forecasters anticipate we’ll see strong appreciation in 2021 – but not as strong as last year. Here are seven prominent groups and their projections:



10 views0 comments
WHAT'S UP?
LAST EVENT
CONTACT

Coming Soon

33009 Wawasee St, Fremont, CA 94555
974 Blair Ave, Sunnyvale, CA 94087
221 Outlook Heights Ct, Pacifica, CA 94044

34951 Belvedere Ter, Fremont, CA 94555

Currently Pending
943 Baines St, East Palo Alto, CA 94303
5387 Quebec Cmn, Fremont, CA 94555
1535 Treviso Ave, San Jose, CA 95118
3652 Sorci Dr, San Jose, CA 95124

1821 Mandel Ct, San Jose, CA 95131

40284 Cottage Rose Ter, Fremont, CA 94538

Currently Sold

6129 Genoa Ter #49 Fremont, CA 94555

167 S San Antonio Rd, Los Altos, CA 94022

Tel: (408) 674-4418
Calbre: 01371905

Email: yvonne@yvonneyanghomes.com

Currently Sold

5992 Treviso Ter #137,
Fremont, CA 94555

  • contact-me-icon-63
  • img_179745
  • w-facebook
  • White Instagram Icon
  • White LinkedIn Icon
  • White YouTube Icon

© Copyright 2021 Yvonne Yang, All Rights Reserved