According to Freddie Mac, home appreciation in 2013 was 9.3%, in 2014 it will be 4.5%, and in 2015 it is projected to be 3%. In Sedona, as of the end of the third quarter of this year, the median price of a home sold was 5.6% above the prior year, which is pretty close to the national average. One of the reason for the slowdown over 2013 is the increase in inventory. And in fact, active listings in the Sedona Verde Valley MLS in January were 805, compared to 935 in November. With new construction, and more existing homes coming on the market, that trend is expected to continue.