...Pace of Growth Settles In: National prices have continued to rise at a rate of approximately 3% annually, slowing to a sustainable pace after significant growth in 2013 and 2014. Early indications are again showing weakness in seasonally adjusted prices going into the summer, but Fitch Ratings views the overall economy as relatively healthy and expects continued, modest price growth for the foreseeable future. Overvaluation Numbers Decline: With continued upward economic pressure and the pace of price growth slowing in many cities, Fitch's Sustainable Home Price (SHP) model shows declines in overvaluation for a number of cities across the country. Compared with a year ago, 186 of the 379 cities analyzed are less overvalued, with the median city now 2% undervalued and only 12% of markets more than 10% overvalued. Still, some booming cities such as San Francisco continue to see prices skyrocket. Nationally, prices are 1.4% overvalued. Mixed Signals from Jobs Reports: Unemployment rates continue...
