Real estate expert on whether home prices could come down amid Fed rate hikes

First American Financial Corporation chief economist Mark Fleming discussed where he believes home prices are going amid expected rate hikes from the Federal Reserve as a way to tame surging inflation. 

Fleming, who leads an economics team responsible for analyzing and forecasting trends in the real estate and mortgage markets, weighed in on current mortgage rates during an interview with "Mornings with Maria." His appearance on FOX Business comes as inflation accelerated to a new four-decade high in March and price hikes were widespread with shelter costs increasing 5% year-over-year and jumping 0.6% for the month.

Last month, the Labor Department said that the consumer price index (CPI) – which measures a bevy of goods including gasoline, health care, groceries and rents – rose 8.5% in March from a year ago, the fastest pace since December 1981, when inflation hit 8.9%. Prices jumped 1.2% in the one-month period from February, the largest month-to-month jump since 2005.

Mortgage rates dropped for the first time in seven weeks, according to latest data from Freddie Mac, with the 30-year fixed-rate mortgage falling to 5.1% as of April 28. Though the rates edged down slightly, they remain significantly higher compared to the same time last year.