Home prices drop 0.77% from June to July across U.S.

FARGO, N.D. (KVRR) — Across the U.S., home prices declined 0.77 percent from June to July, making it the first monthly fall in nearly three years.

It’s the largest single-month price drop since 2011 and the second-worst July performance since 1991.

Home prices across the nation skyrocketed during the first year of the pandemic due to strong demand and weak supply.

The President of the F-M Association of Realtors says rising interest rates are a symptom of inflation. He says he hasn’t seen anything unusual within the F-M market and doesn’t predict anything dramatic.

“I can’t say for sure yet that prices are going to drop. The homes that listed during the peak point of that market, we’re starting to see price reductions there. I think we are seeing a plateau or we’re seeing it start to level off,” Shane Cullen said.

Cullen says he thinks there will be a stabilization of home prices but he doesn’t expect a sharp decline. He also says the market will likely slow down in the winter then get busier again come spring.