NC State Ag Economist Dr. Mike Walden – “Are Housing Prices Back?”

 

Mary:  This is Mary Walden with economist MW, welcoming you to the economic perspective.  Today’s program asks if housing prices are back.   Mike, housing prices crashed during the Great Recession.  Some measures indicate they fell by one-third.  However, now I have heard some reports that housing prices have fully recovered.  True or false?

Mike:  Summary Answer

  1. There are actually several measures of home prices
  2. Reason – unlike a dozen eggs, which is standardized, the home sold each year vary in characteristics
  3. So several measures have been developed to address this
  4. Good news – all the measures show a good rebound in housing prices
  5. Some show prices have fully recovered; others recovered 90%
  6. So far, no sign of problems with prices over-inflating
  7. But in some cities, higher prices are causing an affordability problem
  8. I’m MW

Mary: And I’m Mary Walden for the North Carolina Cooperative Extension Service