I was at the grocery store yesterday and I noticed quite a number of sale prices on items I actually wanted and needed. I have enough laundry detergent to last two lifetimes…

This struck me as a consumer for the first time in two years that prices are dropping for actual items we want and need. It’s anecdotal but sure seemed real to me.

In the housing market we are seeing price reductions rising year over year. But here’s the rub.

2018/2019: Home values up even with price reductions climbing.

2020: Home prices rose, reductions still strong.

2021: Home prices up 19% and price reductions rose sharply.

2022: Home prices skyrocketed as did price reductions.

Today: Home values are still rising as are price reductions.

Having been in the industry for over 19 years, the glaring omission in the data is inventory and greed. High demand, low inventory. Low inventory sellers get greedy and overprice their homes.