Redfin Reports U.S. Home Prices Up 2.6% Year-over-Year, Slowest Growth in a Decade
Written by Emily J. Thompson, Senior Investment Analyst
Source: Yahoo Finance
- Slowing Price Growth: According to Redfin's report, U.S. home prices increased by 2.6% year-over-year in November, down from 2.9% in October, marking the slowest growth rate since 2012, reflecting a pullback in buyer interest due to high mortgage rates and economic uncertainty.
- Market Dynamics Shift: Despite ongoing price increases, 11 major metro areas saw month-over-month declines in November, with the largest drop in Charlotte, NC (-0.9%), indicating a shift towards a buyer's market where buyers can negotiate with sellers.
- Future Outlook: Chen Zhao, Redfin's head of economics research, anticipates that wages will grow faster than home prices in 2026, improving affordability for buyers and potentially easing the current housing market tightness.
- Regional Disparities: Among the 50 largest metros, year-over-year price gains were highest in Chicago (11%), Pittsburgh (10.1%), and New York (9.5%), while significant declines were noted in Austin (-3.8%), Dallas (-2.8%), and Oakland (-2.5%).
Analyst Views on RKT
Wall Street analysts forecast RKT stock price to fall over the next 12 months. According to Wall Street analysts, the average 1-year price target for RKT is 13.83 USD with a low forecast of 12.00 USD and a high forecast of 17.00 USD. However, analyst price targets are subjective and often lag stock prices, so investors should focus on the objective reasons behind analyst rating changes, which better reflect the company's fundamentals.
7 Analyst Rating
0 Buy
7 Hold
0 Sell
Hold
Current: 23.440
Low
12.00
Averages
13.83
High
17.00
Current: 23.440
Low
12.00
Averages
13.83
High
17.00
About RKT
Rocket Companies, Inc. is a fintech platform including mortgage, real estate and personal finance businesses: Rocket Mortgage, Redfin, Mr. Cooper, Rocket Homes, Rocket Close, Rocket Money, and Rocket Loans. The Company's full suite of products empowers its clients across financial wellness, personal loans, home search, mortgage finance, title and closing. Through these businesses, it delivers client solutions leveraging its Rocket platform. It operates in two segments: Direct to Consumer and Partner Network. In the Direct to Consumer segment, clients have the ability to interact with Rocket Mortgage digitally and/or with the Company's mortgage bankers. It provides client service and leverages its brand to strengthen its wholesale relationships, through Rocket Pro, as well as enterprise partnerships, both driving growth in its Partner Network segment. The Company's capabilities span the entirety of homeownership, such as home search, financing, title, closing and servicing.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
