As we head in to the fall, the torrid pace our market had been seeing is showing signs of cooling, which is a welcome sign.
The widely watched Case Shiller report shows year-over-year home price appreciation slowing down to 6.7% in their July report, down from a high of 10.1% in their March report.
This is good news – a slowing home price pace gives wages a chance to catch up to the market”s recent torrid pace – or at least shrinks the gap between house price inflation and wage inflation. While this doesn’t mean Denver housing is becoming more affordable, it at least will become less “unaffordable”.
Their index is still at an all time high – which means home prices are at an all time high.
I expect the cooling to continue in the coming months and through the winter, but I think the rate of appreciation will continue to outpace inflation. Of course – I thought the same thing at this time last year….