Increase in Miami home prices slows again in June

The once-rapid growth of Miami’s home prices grew closer to leveling off in June, which industry experts say is a sign of the market experiencing a healthy correction.

According to data from a CoreLogic report, home prices in Miami grew only 0.3 percent from May to June. That’s the smallest monthly appreciation in price so far this year.

Though the market’s year-over-year appreciation remains significant, at 6.7 percent in June, it saw much larger gains earlier in the year. And on a month-to-month basis, the growth of Miami’s home prices has been slowly shrinking since March.

Reports from top brokerages in the Miami market like Douglas Elliman, EWM and One Sotheby’s show that the inventory of homes for sale in the area has decreased, while buyer demand remains high.

Those two factors combine to create price growth, which in turn pulls more sellers into the market. Despite this, the analysis from CoreLogic’s database of home sales show a cooling market in Miami. Jonathan Miller, an analyst and author of Douglas Elliman’s quarterly report, characterized the market as going from “frantic to brisk.”

Nationally, the housing market continues to recover from the downturn, with 35 states nearing peak levels in home prices. The United States saw 6.5 percent increase year-over-year during June, which marks 40 consecutive months of growth in home prices for the nation.

States with the highest year-over-year appreciation in price includes Colorado with 9.8 percent, Washington with 8.9 percent, New York with 8.3 percent, and a tie between South Carolina and Nevada with 8 percent.