Home prices fall in 60 percent of counties…
1) This indicates that the U.S. housing correction is no longer just a Texas and Florida downturn.
In fact, over 30 states showed a monthly contraction in May 2025 according to the Zillow data.
— Nick Gerli (@nickgerli1) June 25, 2025
3) In 2022, around 77% of counties reported monthly home value declines after the Fed increased interest rates earlier that year.
At that time, many people, including myself, were convinced the U.S. Housing Market was going to enter another sustained correction.
But it ended up…
— Nick Gerli (@nickgerli1) June 25, 2025
4) But now inventory is much higher. There are over 1 million re-sale listings on the market as of May 2025, basically back to pre-pandemic norms.
You can see listings are more than 2x higher than in 2022, indicating more supply and slack in the market this time around. pic.twitter.com/hAaTul9OgL
— Nick Gerli (@nickgerli1) June 25, 2025
After five years of unprecedented appreciation in the US housing market with Home values going up 45% and only five years we are finally starting to see this housing bubble burst and a reversal in many of the trends that people thought we’re going to last forever. Even Zillow and redfin are predicting negative year-over-year home prices for almost every market in the US moving forward.