Home Prices Remain Resilient

Lisa Mailhot  |  October 3, 2023


Home Prices Remain Resilient


In the final quarter of the previous year, there were predictions by certain real estate experts that foretold a looming crash in home prices for 2023. These forecasts were seized upon by the media, which then flooded the headlines with tales of housing market doom and gloom. This wave of negative news coverage cast a shadow of doubt over the stability of the residential real estate market.

If these reports left you wondering whether you should put your moving plans on hold, here's what you truly need to understand.

Home Prices Defied the Odds

Disregard the sensational headlines. The actual data paints a much more optimistic picture, showing that home prices displayed remarkable resilience and performed significantly better than what the media's narrative suggested (as depicted in the graph below):



This graph relies on data from three reputable sources to clearly demonstrate that prices bounced back after experiencing only modest national declines. This is a far cry from the crash scenario that so many articles were forecasting.

The declines that did occur (as highlighted in red) were neither severe nor prolonged. As per Nicole Friedman, a reporter at the Wall Street Journal (WSJ), who remarked:

Home prices aren’t falling anymore. . . The surprisingly quick recovery suggests that the residential real-estate downturn is turning out to be shorter and shallower than many housing economists expected . . .”

Despite the sensational media coverage that made a fuss about home prices retracting, the minor correction has already been consigned to the past. Essentially, this data confirms that home prices are no longer on a downward trajectory; instead, they are on the upswing.

What Lies Ahead for Home Prices?

Experts concur that home price growth will persist in the coming years, returning to more typical market levels. This means we can still anticipate home prices appreciating, albeit at a more moderate pace compared to recent years – and that's actually a positive development.

Certain news outlets may interpret the deceleration in home price growth as an impending fall and subsequently publish stories that might lead you to believe that prices are tumbling once more. The resurgence of misleading headlines like these is already influencing homebuyer sentiment. You can gauge this impact by examining the Consumer Confidence Survey from Fannie Mae (as shown in the graph below):




While the percentage of Americans who anticipate price drops has been steadily decreasing this year, recent Consumer Confidence data reveals a slight uptick (as indicated in red). This shift is rather surprising, especially given that the home price data indicates an upward trajectory, not a downward one. It underscores the enduring influence of the media on public opinion.

Don't be swayed by the pessimistic headlines and become part of this statistical anomaly. Keep in mind that data from multiple sources confirms that home prices are no longer in decline.

Bottom Line

Despite the media's propensity to paint a bleak picture, the data unmistakably demonstrates that home prices are not in decline anymore. Therefore, there's no need to be unnerved or delay your plans based on sensational headlines. Let's connect so that you have a reliable source to cut through the noise and provide you with an accurate understanding of the real situation in our area.

Recent Blog Posts

Stay up to date on the latest real estate trends.


Converted Churches, Barns, and Factories: Unconventional Home Conversions

Lisa Mailhot  |  November 30, 2023

Experience Unique Living: Converted Churches, Barns, and Factories Turned Homes. Discover the charm of unconventional conversions with history, character, and modern c… Read more


Unveiling the Hidden Gems of Orange County: 10 Intriguing Trivia Facts

Lisa Mailhot  |  November 28, 2023

Delve into the secrets of Orange County, California, with our blog featuring captivating trivia facts. Whether you're a potential buyer, seller, or a curious tourist, … Read more


Orange County Real Estate in 2023: Market Trends and Insights

Lisa Mailhot  |  November 27, 2023

Uncover 2023 Orange County Housing Market Trends: Delve into median sold prices, sales metrics, and market dynamics to understand if it's a buyer's or seller's market.… Read more


Last-Minute Gifts for the Home: Thoughtful Ideas for Stress-Free Holiday Giving

Lisa Mailhot  |  November 22, 2023

Stuck in a last-minute gift scramble? Discover seven low-stress, last-minute gift ideas that'll delight your loved ones and elevate their home experience. From cozy th… Read more


Unlocking Opportunities: Lower Mortgage Rejection Rates Point to a Brighter Real Estate Horizon

Lisa Mailhot  |  November 21, 2023

Explore the changing real estate landscape influenced by declining mortgage rejection rates. Discover the opportune moment for buying or selling your home while improv… Read more


Dealing with Problematic Neighbors When Selling Your Home

Lisa Mailhot  |  November 20, 2023

 Selling your home with challenging neighbors? Learn how to handle noisy, disrespectful, or problematic neighbors effectively. Follow these tips to ease the selling pr… Read more


Orange County Real Estate Trends: November 2023 Market Insights

Lisa Mailhot  |  November 16, 2023

Get the latest insights into the Orange County real estate market. Discover trends, notable closings, and the impact of the holiday season on inventory. Stay informed … Read more


FHFA Sets 2024 Multifamily Loan Purchase Caps: What Realtors Need to Know

Lisa Mailhot  |  November 15, 2023

Stay informed on FHFA's 2024 multifamily loan purchase caps, totaling $140 billion for Fannie Mae and Freddie Mac. Explore the impact on the multifamily market and its… Read more


Navigating Today's Housing Market: The Rise of 'Nepo-Homebuyers

Lisa Mailhot  |  November 14, 2023

Learn about the rise of alternative lenders, such as parents, as a solution to the affordability challenge in today's real estate market. Explore available options for… Read more

Let’s Talk

You’ve got questions and we can’t wait to answer them.