an Diego home price gains continued to slow in November compared to most of the nation and California, said the S&P CoreLogic Case-Shiller Indices released Wednesday.
Resale home prices in the San Diego metropolitan area increased 3.3 percent in the year, the third slowest of the 20 cities covered by the index. National home prices were up 5.2 percent in a year, with Las Vegas leading the pack with a 12 percent gain.
Home price increases in November were slower year-over-year nationwide, with many analysts attributing higher mortgage interest rates leading to decreasing affordability — especially in costly areas.
Los Angeles metro area prices increased 4.4 percent in a year, also below the national average. San Francisco was only slightly above with a 5.6 percent yearly gain.
Alan Gin, economist at the University of San Diego, said it is important to note that prices are still rising. However, he said home costs already being near record highs means there’s not much wiggle room for potential buyers.
“A lot of people right now are just priced out of the market,” he said. “That’s why you’re seeing sales slow, as well.”
Gin said other parts of the San Diego economy are still strong, especially with a low unemployment rate, so the region’s slowed home price increases might be an aberration.
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