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U.S. Home Value Declines $2.3T in Biggest Drop Since 2008
The total value of U.S. homes declined 4.9%, or $2.3 trillion, to $45.3 trillion at the end of 2022, down from a record high of $47.7 trillion in June, Redfin reported. That’s the largest June-to-December drop in percentage terms since 2008.
Although the total value of U.S. homes was up 6.5% from a year earlier in December, the gain represents the smallest year-over-year increase during any month since August 2020. Percentage-wise, the Bay Area saw the biggest year-over-year decline in value at 6.7%
Redfin said the housing market has shed value because homebuyer demand has waned, which has also caused home prices to fall from their peak. The median U.S. home sale price was $383,249 in January, down 11.5% from a peak of $433,133 in May 2023.
“The housing market has shed some of its value, but most homeowners will still reap big rewards from the pandemic housing boom,” said Redfin economics research lead Chen Zhao.
- ◦Economy
