A recent UBS report says that housing prices in areas where the economies depend on leisure and hospitality will be under greater pressure than other areas. The report mentions Las Vegas, Miami and Orlando, which were some of the more disastrous markets during the subprime crisis.
Home prices were hot at the start of 2020. As we muster through the pandemic, gains in values will likely slow. However, prices are not expected to fall nationally. There is a severe shortage of homes for sale which is unlike the subprime mortgage crisis. Home values fell as much as 50% in some markets 10-years back. Now, the supply-demand imbalance favors stronger prices.
Although numbers are still rising compared to 2019, (in the first two weeks of March, new listings were up 5% annually on average), slower gains are indicative to the current market, (the second week of April, new listing were down 47%). There has also been a slowdown in asking prices. In early March, median list prices were, on-average, up by 4.4%. The first half of April reported the slowest growth in seven years with an increase of just under 1%.