Depending on your vantage, 2021 was either one of the strongest or one of the most challenging housing markets in a generation. Across a range of government and private measures, house prices have posted their largest year-over-year increases, rising to record-shattering highs. In nominal terms, prices have catapulted past their 2006 peak, and are 10% to 15% higher after adjusting for inflation. In turn, housing opportunity has declined to its lowest point in at least a decade as measured by the National Association of Homebuilders and Wells Fargo, moving homeownership further beyond the grasp of many American families.
Amid the vagaries of a supply-constrained market buffeted repeatedly by the pandemic, October’s S&P CoreLogic Case-Shiller Index was 19.1% higher than a year earlier, off only slightly from its peak in August. For the same period, the Federal Housing Finance Agency (FHFA) House Price Index increased 17.4%. While the month-to-month pace of appreciation has been slowing, it remains nearly double the long-term average and is easily outpacing private sector wage gains.
Click here for more information: https://www.forbes.com/sites/samchandan/2022/01/01/2021-was-one-of-the-best-and-one-of-the-toughest-years-for-housing-2022-will-not-be-so-different/?ss=real-estate&sh=7988a43b252a