Inventory continues to grow, but prices seem to be holding steady (although the median price seems to have softened very recently.) I think what is going to put pressure on prices over the next few years is builder overcapacity. In the current market, a builder could probably shave $100K off of the price of a $450K home and still break even. I have no clue what prices are going to do over the next year, but 5 years out from now I'd venture that prices will pretty much be where they are today.
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