These 15 housing markets have the highest correction risks
'Mansion Global' host Katrina Campins discusses the state of the housing market on 'Making Money.'
There has been a relentless climb in home prices in the U.S. over the past three years, but a growing number of markets face the risk of a steep price correction.
A new report published by Parcl Labs, a real-estate data and analytics firm, shows there are 15 housing markets in the U.S. that are «at risk» of a home-price correction in the coming fall and winter months.
«While there's no guarantee that these regional markets will experience a material home price correction, they are showing signs of softening,» the report said. «At the very least, buyers in these markets have more leverage than they did a few years ago.»
THE US HOUSING MARKET IS 'STUCK,' AND MIGHT REMAIN THAT WAY UNTIL 2026
A house for sale in the Aqualane Shores neighborhood of Naples, Florida on Tuesday, Feb. 13, 2024. (Photographer: Lisette Morales McCabe/Bloomberg via Getty Images / Getty Images)
These are the 15 markets with the highest correction risk, according to Parcl Labs.
The most notable part of the list is that 13 of the 15 «at risk» housing markets are all located in Florida.
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Active housing inventory in Florida has been rising at an «accelerated» pace over the past year. Some of that increase is due to Hurricane Ian, which made landfall on Florida's Gulf Coast in September 2022 and helped to fuel a supply crunch in housing, which was eventually offset by new listings.
Waterfront homes near Naples Pier in Naples, Florida on Tuesday, Feb. 13, 2024. (Photographer: Lisette Morales McCabe/Bloomberg via Getty Images / Getty Images)
Florida is also battling a spike in home insurance
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