Current US Home Prices: 404,500 (+4.5% vs last year)
Dec 01, 2024
| 2000: | $136,629 | |
| 1975: | $34,221 | |
| 1950: | $15,111 | |
| 1925: | $8,047 | |
| 1900: | $4,382 |
US Home Prices. Home prices have increased on average 3.8% annually going back to 1890.
It is important to recognize that an important part of the increase came not from an actual rise in price, but from investments in the size of the average house.
In the 1970s, the average home size was approximately 1,500 square feet. By 2023, this had grown to about 2,430 square feet, marking an increase of around 930 square feet, or roughly 62%.
This reprensents an increase of 1% per year.
Surprisingly, adjusting for the average home size and inflation, real home prices have not really gone up at all in the last 100+ years.
Source:
Data is from Robert Shiller, from
his book, Irrational Exuberance