For some perspective on the all-important U.S. real estate market, today's chart illustrates the inflation-adjusted median price of a single-family home in the United States over the past 42 years.
Not only did housing prices increase at a rapid rate from 1991 to 2005, the rate at which housing prices increased -- increased. That brings us to today's chart which illustrates how the inflation-adjusted median home price is currently -42% off its 2005 peak.
That's a -$112,000 drop.
In fact, a home buyer who bought the median priced single-family home at the 1979 peak has actually seen that home lose value
(-13.7% loss). Not an impressive performance considering that more than three decades have passed.
It is worth noting that the median priced home is currently at the bottom of a price range that existed from the late 1970s into the mid-1990s.
Not only did housing prices increase at a rapid rate from 1991 to 2005, the rate at which housing prices increased -- increased. That brings us to today's chart which illustrates how the inflation-adjusted median home price is currently -42% off its 2005 peak.
That's a -$112,000 drop.
In fact, a home buyer who bought the median priced single-family home at the 1979 peak has actually seen that home lose value
(-13.7% loss). Not an impressive performance considering that more than three decades have passed.
It is worth noting that the median priced home is currently at the bottom of a price range that existed from the late 1970s into the mid-1990s.
![[AOT]](https://lh3.googleusercontent.com/blogger_img_proxy/AEn0k_uDpApb8607uBYtgqrhHj8MBhlXqPcxi6wwoDKSCgeZlIjbXE7kd7PV249DUKl8C5zVHb5Ht8NRwrNQZ2fGb0_tXNak0_x1NWd4puL0IWk1S6T1GkSMW-rqT4bv8nVp5G-BioAHT2gv_H8cRCb36QUd=s0-d)
![[BIZHOME-jump]](https://lh3.googleusercontent.com/blogger_img_proxy/AEn0k_uvHsLpB3AUkazvtXINB3XzjC-Oc_CyJPJQ0NLSY6-s8xB_uW_6R7WWgaqTUJf4RdcFPKEaLvvWn_PiB__Wdi6-jYOX8CZcYnvpYOSzI4i2oSmuhfC7PoDwTA6Wq1KHraVNzi8lZnCGoLKZOEWxkRU5ETA=s0-d)
