Home price growth sinks to lowest level since 2012

The slowdown marks the 13th consecutive month where price growth has dipped

National /
Jun.June 25, 2019 02:31 PM
Mortgage rates are falling (Credit: iStock)

Mortgage rates are falling (Credit: iStock)

The housing market continued to show signs of a major slowdown, and through April, it had recorded 13 consecutive months of slowing home-price gains.

Property values in 20 major U.S. cities increased 2.5 percent from a year ago, according to data from S&P CoreLogic Case-Shiller, Bloomberg reported. That’s down from 2.6 percent in March, and reflects the slowest pace since 2012.

Most cities showed year-over-year gains, however. In Las Vegas, for example, home prices grew at 7.1 percent. Nationally, home price growth decelerated at 3.5 percent.

The slowdown was most pronounced in wealthy California cities such as Los Angeles, San Francisco and San Diego. There, gains circled below 2 percent.

The news comes at a time when mortgage rates are dropping and inventory is piling up. It’s not all bad news though: home sales in May topped estimates. A report from the National Association of Realtors revealed about 5.34 million contracts closed last month, reflecting a three-month high.

Prices in 14 out of the 20 cities remained largely unchanged in April. Only two cities, Washington D.C. and Seattle, saw prices drop. [Bloomberg]Natalie Hoberman


Related Articles

arrow_forward_ios
(iStock)
Homebuilder sentiment ticks up in April
Homebuilder sentiment ticks up in April
(iStock)
Mortgage requests, refinancings continue to drop
Mortgage requests, refinancings continue to drop
Many of these investors are targeting lower-priced homes. (iStock)
Institutional investors, higher material costs lead to rising home prices
Institutional investors, higher material costs lead to rising home prices
Canada’s Public Sector Pension Investment Board CEO Neil Cunningham (left) and Allianz SE CEO Oliver Bäte (PSP Investments, Allianz, iStock)
Canadian pensions, Asian wealth funds eye single-family home rentals
Canadian pensions, Asian wealth funds eye single-family home rentals
The state has opened 52 more investigations into potential fair-housing law violations tied to the Newsday report (iStock)
Agents named in discrimination exposé face discipline from NY state
Agents named in discrimination exposé face discipline from NY state
An index tracking applications for mortgages to purchase homes decreased 5 percent. (iStock)
Frenzy ending? Mortgage requests fall 5%
Frenzy ending? Mortgage requests fall 5%
(iStock/Illustration by Kevin Rebong for The Real Deal)
March madness: Homes sold faster than ever last month
March madness: Homes sold faster than ever last month
February were 10.4 percent higher than last year. (iStock)
Home price growth hits 15-year high
Home price growth hits 15-year high
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...