Lack of supply keeps hurting housing market

U.S. home prices rose 18 percent in September year-over-year, as an undersupply of new houses continued to hurt the market, according to data released this week.

Demand for houses remained strong as summer came to a close, but the ongoing supply shortage continues to drive prices up, Irvine-based CoreLogic reported in its monthly assessment of the national housing market.

Also in September, appreciation of detached properties – 19.6 percent – exceeded appreciation of unattached properties by 7.4 percent.

“The pandemic led prospective buyers to seek detached homes in communities with lower population density, such as suburbs and exurbs,” said Frank Martell, CoreLogic’s president and chief executive office, in a statement. “As we head into 2022, we expect some moderation in the current pattern of flight away from urban cores as the pandemic wanes.”

In the Inland Empire, single-family home prices were up 25.8 percent year-over-year in September, compared with 14.5 percent in Los Angeles County and 18 percent in Orange County, CoreLogic reported.