TAMPA, Fla. — While home price gains across the United States, on average, declined in December, the news wasn't as good for two of Florida's major cities.
The S&P Corelogic Case-Shiller Home Price Index reported an overall 5.8% annual gain in December, which was down from 7.6% in November.
However, Miami and Tampa continued to lead the way with home price gains. Miami posted a 15.9% year-over-year price increase in the last month of the year, while Tampa was number two with a 13.9% year-over-year price increase in December.
No other city in the nation posted double-digit gains in December outside of Miami, Tampa, and Atlanta.
There were some glimmers of hope in the numbers for Floridians.
According to the index, home prices in Florida dropped one percent from October to November and dropped another 0.9 percent from November to December. Still, it wasn't anywhere near enough to overcome the year-over-year gains.
Craig J. Lazzara, managing director at S&P DJI, said home prices began cooling in most of the country in June and continued through the end of the year and that circumstances may not improve soon.
“The prospect of stable, or higher, interest rates means that mortgage financing remains a headwind for home prices, while economic weakness, including the possibility of a recession, may also constrain potential buyers," Lazarra said. "Given these prospects for a challenging macroeconomic environment, home prices may well continue to weaken.”
