U.S. home prices rose at a modest pace in November, held back by weaker sales and a limited number of houses for sale.
The Standard & Poor's/Case-Shiller 20-city home price index, released Tuesday, increased 4.3 percent in November from 12 months earlier. That's down slightly from a 4.5 percent pace in October. Home price gains have decelerated for 12 straight months.
The slowdown in price increases should help boost sales this year. Home values rose at a double-digit pace in early 2014, making many homes unaffordable. Sales of existing homes fell 3.1 percent to 4.93 million last year. First-time buyers in particular were priced out of many neighborhoods and accounted for a historically low proportion of sales last year.
Economists are hopeful that home sales and construction will rebound this year, partly because price gains are returning to levels consistent with a stable housing market. Lower mortgage rates, healthy hiring, and lower down payment requirements from mortgage giants Fannie Mae and Freddie Mac may also spur sales.
Home prices in all 20 cities increased over the past 12 months, the Case-Shiller index showed. San Francisco's increase of 8.9 percent was the largest, followed by Miami at 8.6 percent. Cleveland posted the smallest gain, at 0.6 percent.
Read more here: http://www.miamiherald.com/news/business/article8225520.html#storylink=cpy
Read more here: http://www.miamiherald.com/news/business/article8225520.html#storylink=cpy
U.S. home prices rose at a modest pace in November, held back by weaker sales and a limited number of houses for sale.
The Standard & Poor's/Case-Shiller 20-city home price index, released Tuesday, increased 4.3 percent in November from 12 months earlier. That's down slightly from a 4.5 percent pace in October. Home price gains have decelerated for 12 straight months.
The slowdown in price increases should help boost sales this year. Home values rose at a double-digit pace in early 2014, making many homes unaffordable. Sales of existing homes fell 3.1 percent to 4.93 million last year. First-time buyers in particular were priced out of many neighborhoods and accounted for a historically low proportion of sales last year.
Economists are hopeful that home sales and construction will rebound this year, partly because price gains are returning to levels consistent with a stable housing market. Lower mortgage rates, healthy hiring, and lower down payment requirements from mortgage giants Fannie Mae and Freddie Mac may also spur sales.
Home prices in all 20 cities increased over the past 12 months, the Case-Shiller index showed. San Francisco's increase of 8.9 percent was the largest, followed by Miami at 8.6 percent. Cleveland posted the smallest gain, at 0.6 percent.
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