Will Home Prices Crash? Don’t Count on It. Here’s Why.

The housing market is cooling, but the downturn may be overhyped. That is both a blessing and a curse.

Data released this past week showed that U.S. home prices fell in August at the steepest month-over-month pace in more than a decade, with the S&P CoreLogic Case-Shiller National Home Price Index and the Federal Housing Finance Agency index declining 1.1% and 0.7%, respectively.