Stories of rising
home prices are no longer breaking news, but still, they are pretty remarkable.
Black Knight, in its latest Mortgage Monitor, says the 12.3 percent growth
in the selling price of single family homes in February was the highest such
annual home price growth of any month on their records dating back to 1992. The
overall price growth during the month was 11.6 percent, dragged lower by a 6.4
percent growth rate in condo prices. The company says
this discrepancy bears watching. Condos typically appreciate more quickly when
the housing market heats up, as it certainly has over the last year, and
decelerate more quickly when markets cool. This reversal of historical patterns
may suggest underlying weakness in the condo market. Perhaps this is driven by the
pandemic and fears of living in close quarters.