Last time was during the Financial Crisis. Now it’s happening in a kinder and gentler way, but there is no crisis.
The evidence thickens: In July, the median price of new single-family houses fell 4.5% from July 2018, to $312,800, and was down 3.1% from July 2017, according to the Commerce Department this morning.
These price changes do not include the incentives – the free upgrades of finishes, counter tops, and the like – that homebuilders dangle in front of potential buyers to make deals. With incentives, buyers get a little more for the same price. The price declines in the chart are on top of that.
The trend via the three-month moving average.
As you can see from the chart above, this data – produced jointly by the Census Bureau and the Department of Housing and Urban