July home prices rise at fastest rate in seven years, but monthly gains slow | Armonk NY Homes
July home prices rose at the fastest rate in seven years, according to new housing data released Tuesday.
Across the country, prices rose 12.4 percent compared with the same period last year, according to Standard & Poor’s Case-Shiller index, which tracks 20 large cities.
But though the year-over-year number was positive, the report also showed a slowdown in the pace of monthly price gains in most cities in July, compared with the previous month. That may be a sign that the housing market’s breakneck pace of recovery is starting to decelerate.
On a monthly basis, July home prices rose 2.8 percent in Las Vegas, the same pace of increase as June. Prices rose by 2.2 percent in San Francisco, down from 2.7 percent in June. In Washington, however, home prices rose 1.4 percent in July, faster than the rate of 1 percent in June.
"More cities are experiencing slow gains each month than the previous month, suggesting that the rate of increase may have peaked," David Blitzer, managing director and chairman of the index committee at Standard & Poor’s, said in a statement.
Home prices have been gaining for the last two years, as homebuyers rushed to make the most of historically-low mortgage rates and to compete for limited inventory.
But in the last few months, rising mortgage rates and dipping investor activity have been affecting the pace of price gains, according to analysts.
http://www.washingtonpost.com/business/economy
Across the country, prices rose 12.4 percent compared with the same period last year, according to Standard & Poor’s Case-Shiller index, which tracks 20 large cities.
But though the year-over-year number was positive, the report also showed a slowdown in the pace of monthly price gains in most cities in July, compared with the previous month. That may be a sign that the housing market’s breakneck pace of recovery is starting to decelerate.
On a monthly basis, July home prices rose 2.8 percent in Las Vegas, the same pace of increase as June. Prices rose by 2.2 percent in San Francisco, down from 2.7 percent in June. In Washington, however, home prices rose 1.4 percent in July, faster than the rate of 1 percent in June.
"More cities are experiencing slow gains each month than the previous month, suggesting that the rate of increase may have peaked," David Blitzer, managing director and chairman of the index committee at Standard & Poor’s, said in a statement.
Home prices have been gaining for the last two years, as homebuyers rushed to make the most of historically-low mortgage rates and to compete for limited inventory.
But in the last few months, rising mortgage rates and dipping investor activity have been affecting the pace of price gains, according to analysts.
http://www.washingtonpost.com/business/economy
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