San Diego home prices are still rising among the fastest in the nation, but for the second month, New York is top dog. According to San Diego Union-Tribune, the San Diego metropolitan area’s annual home price increased 8.7 percent annually in June, said the S&P Case-Shiller Indices report released Tuesday. New York topped the 20-city index with a 9 percent annual rise.
While the pace of increases has slowed in San Diego, prices are still near the top of the pack. The metro had seen prices rise around 10 to 11 percent annually for the start of 2024, making recent gains seem like a notable drop. Even with slowing price gains, national home prices in June reached the highest level ever recorded by the index.
Despite the steady decline in mortgage rates since May, Lisa Sturtevant, chief economist at Bright MLS, argues that home prices won’t necessarily be more affordable. This is due to the rapid increase in prices over the last few years.
In June, the median resale single-family home price in the San Diego metro was $1 million. Brian Luke, head of commodities, real and digital assets at S&P Dow Jones Indices, said that San Diego has seen the largest appreciation in higher-tier homes over the past five years. While the overall San Diego market has risen by 72 percent in the past five years, the high tiers have done even better, rising 79 percent versus 63 percent for the lower tier.
Zillow chief economist Skylar Olsen says there are now more homes on the market, but it doesn’t mean buyers are jumping off the fence. She attributes this to buyers being cautious, perhaps unable or unwilling to move forward at current pricing and mortgage rates that then still averaged above 6.9 percent for prime borrowers.
**Looking to buy or sell a home in San Diego?** I can help! I’m a local Realtor with expertise in the San Diego market. Contact me today for a free consultation. https://robertluiswallace.com/services/
Leave a Reply
You must be logged in to post a comment.