Home price appreciation will slow over the next few years

Home price appreciation will slow over the next few years according to a new report from Moody’s Analytics.

Its analysis calls for annual gains of just 1.3% over the next five years as a combination of factors weaken rising prices. These factors include some of the measures already taken to cool the hottest markets such as tighter mortgage lending restrictions and foreign buyers’ taxes; along with rising interest rates.

If further measures are implemented to curb speculation in the housing market then the slowdown could be intensified.

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