Home Value Appreciation Slows

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September 1st, 2005

House prices have slowed to their lowest levels of appreciation in nine years. A national builder’s society said that the average cost of a home went up just 2.3 percent since this time last summer; the lowest levels seen since May of 1996. During the month of August, house prices dropped .2 percent, wiping out the gains seen earlier this summer. Prices are undergoing a steady decline in line with the theory that the housing market is headed for a soft landing. The current market conditions suggest that the housing market will continue to cool; however, it will be some time before prices will return to the growth rates seen over the last two years stated a national lender.

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