Thoughtful Money with Adam Taggart

Home Prices Will Be Heading Lower For Years | Melody Wright

22 snips
Aug 24, 2025
Melody Wright, a housing analyst known for her expertise in real estate trends, warns that home prices are set for a significant decline. The correction is just beginning and could last until 2025. She discusses the surprising drop in new home prices below existing ones, demographic shifts driving housing changes, and the market's challenges from tightening lending standards. Melody also explores the implications of inherited homes and migration patterns on the housing market's future.
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INSIGHT

National Correction Is Underway

  • Melody Wright sees a national housing correction underway with bifurcated markets that will keep pulling prices down.
  • She expects the broad trend to be downward over the next 18 months as inventory spreads beyond hot markets.
INSIGHT

Builders Reveal The Market's Future

  • New home builders are signaling future price weakness by pricing new homes far below existing-home medians with large concessions.
  • Melody warns this persistent new-vs-existing gap cannot persist and points to big implied price declines ahead.
ANECDOTE

Family Refinance Shows Appraisal Drop

  • Melody related a family refinance where the appraiser marked the home $20,000 lower than a year earlier.
  • She uses this to show appraisals and valuations are starting to tighten and reveal falling prices.
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